Global Economic Periscope #6

 

 

 

 

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Live 24 hours gold chart [Kitco Inc.]

HOT TAKES

 

Big, Bigger…East India Company

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The government of an exclusive company of merchants is, perhaps, the worst of all governments for any country whatever.”

 

Rabo: It’s All About China Again Today…. And For Markets The Question Is “Where Next?”

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“It’s all about China again today in markets – and what we are seeing in some corners is just a reflection of what we could potentially see in many others ahead.”

MONDAY, JUL 26, 2021 – 9:26
Good Morning. As of this writing the DX is down 20 points and bonds are stronger. The US 10-year real yield has fallen to a new record low of almost -1.13%. US Stocks are only marginally lower. Gold is up $7 and Silver is up almost a full percent at $25.47. Oil is softer and Copper is firm. Nat Gas is up 10 cents. Bitcoin is up 19.40% from Friday’s close and Ethereum is up 18 percent.
What’s it Mean:
If you ignore Bitcoin, it means little. The accompanying news is about the infrastructure bill and the escalating rhetoric between China and the US. Covid fears are ratcheting up some as well. That would explain the bond rally and flat stocks. The bid in gold is not much to get excited about given the real rates being so negative. But that will matter when it finally does matter.
zerohedge
Futures Slide As Chinese Stocks Crash, Bitcoin Surges Ahead Of Fed https://t.co/ruE2thgGBM
On Deck: It’s a quiet day ahead of the start of the Federal Reserve meeting this week. June new home sales data is released at 10:00 a.m. Tesla Inc. reports second-quarter earnings after the bell, with Lockheed Martin Corp., Hasbro Inc. and Ameriprise Financial Inc. also due.- Source
Gold Technicals
The following are excerpts from Moor Analytics Technical Reports posted here with permission and not actionable out of full report context
Upside: I am writing this from the higher call. Get long on a decent penetration and/or pullback above $1,813.0 (-1.2 tics per/hour starting at 8:20am)
Downside: I am writing this from the higher call. Buy against $1,798.6-8.4 as a reentry for longs. Buy against $1,791.0-89.1; get short below.
Bitcoin Blastoff
As noted up top, Bitcoin soared 19% from Friday’s close The surge has been attributed to short-covering, speculation that Amazon may accept digital coins for transactions and positive comments from the likes of Tesla’s Elon Musk and Ark Investment Management’s Cathie Wood.
Moor Analytics Bitcoin Daily
Due to Twitter limitations today, the GoldFix and Bitcoin Brief broadcasts were completed in combination in a zoom room. Today’s extended chat goes into the behaviors and events that lead up to today’s rally in Bitcoin.

VBL's GoldFix and Bitcoin Broadcast Zoom Room

Bitcoin 4 hour chart including weekend activity
Bitcoin 4 hour chart including weekend activity

 

 

Another Volatile Week in Gold and Silver: “Crazier Days to Come” – Weekly Wrap Up

BY SPROTT MONEY

 

 

 

Silver Gold Price Suppression Effectiveness Diminishing

BY JHANDERS

 

 

Connecting the Dots: The Making of a Gold Heist, Part 1

BY SKWEALTHACADEMY

 

 

Inflation Soars 5.4%, Biggest Jump Since 2008

Inflation Soars 5.4%, Biggest Jump Since 2008

(Vladimir Kolobov/Dreamstime.com)

Prices paid by U.S. consumers surged in June by the most since 2008, topping all forecasts and showing higher costs associated with the economy’s reopening continue to fuel inflationary pressures. [Full Story]

 

 

Meet The One Chipmaker The Entire World Is Now Depending On

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And now, in the midst of a global semiconductor shortage, it is becoming clear exactly how important the company’s dominance has been.

Is Gold Still a Safe Haven Asset?

THURSDAY, JUNE  10, 2021 –
Is Gold Still A Safe Haven Asset?- Haven gates with hands holding gold coins

Another strike against Bitcoin this week.

Another strike against Bitcoin this week.

We discuss bitcoin often because it has been touted as an alternative to gold in many circles. Many of these claims are unsubstantiated and some are outright false. Also, as long-term physical metals investors, we care enough to tackle these falsehoods head on.

Commercials are circulating from crypto companies that advertise “drop gold” in favor of bitcoin with claims such as

Bitcoin has qualities that make it a better option than gold in today’s digital, global economy. It’s fast, secure, transparent, and moves seamlessly across borders making bitcoin both a resilient store-of-value and an efficient medium-of-exchange” (dropgold.com).

Moreover, these types of campaigns and beliefs have influenced the gold price as investors have turned towards cryptocurrencies instead.

Additionally, we have written in previous posts; also our analysis shows that the increase in the price of Bitcoin in the first quarter of 2021 accounted for about 2.5% lower prices for gold (the other factors in the decline were the rise in the US dollar and US 10-year real interest rates (measured by the Treasury Inflation Protection Securities).

Cryptocurrency Theft on Rise

One of the touted benefits of Bitcoin is that it is untraceable and provides guaranteed anonymity. However, it was reported by Reuters on Monday that America’s Justice Department “recovered some $2.3 million in cryptocurrency ransom paid by Colonial Pipeline Co, cracking down on hackers who launched the most disruptive U.S. cyberattack on record … an affidavit filed on Monday said the FBI was in possession of a private key to unlock a bitcoin wallet that had received most of the funds …

A judge in San Francisco approved the seizure of funds from this “cryptocurrency address” … authorities have stepped up their expertise in tracking the flow of digital money as ransomware has become a growing national security threat.”

This is further evidence that Bitcoin is not beyond government control as once thought. In fact, it is hard to see how gangsters and criminals could continue to favour crypto assets over gold or cash since Bitcoin has turned out to be most traceable of the three!

Some advocates of crypto assets point out that FBI was able to recover this ransom because of sloppy operations by the hacker, but not because Bitcoin failed to be anonymous. Yet the fact remains the vast majority of investors are less digitally sophisticated than professional software hackers thus they will be even more traceable by governments.

What will Send Gold to $5000 Per Ounce?
Watch Ronni Stoeferle on GoldCore TV

Click on the video to watch now

This FBI knock against Bitcoin follows closely upon Elon Musk announcing on May 13 that Tesla would stop accepting Bitcoin for vehicle purchases. This was only 13 weeks and two days after Musk stated that Tesla would accept Bitcoin as payment.

It seems those ransomware hackers should study a little history. Moreover, some reading would show many cases of theft from which the gold was never recovered. This is because stolen gold leaves no digital tracks and does not need a computer network!

A google search shows that millions in gold stolen from Heathrow in 1983 has not been recovered, and never will… “The Brink’s-Mat robbery occurred at the Heathrow International Trading Estate, London, on 26 November 1983. £26 million (equivalent to £100 million in 2019) worth of gold bullion, diamonds, and cash was stolen from a warehouse.

The bullion was the property of Johnson Matthey Bankers Ltd, which collapsed the following year after making large loans to frauds and insolvent firms. Two men were convicted, and the majority of the gold has never been recovered. Insurers Lloyd’s of London paid out for the losses, and several deaths have been linked to the case.”

Gold as Safe Haven

We are by no means endorsing criminal activity with either gold or Bitcoin, but merely pointing out another element that the falsehoods of Bitcoin are continually being uncovered, whereas gold has stood the test of time on many fronts and also proved to be a safe haven that the Bitcoin (cryptocurrency) promoters would like investors to believe that Bitcoin should replace gold.

On that point, one of the tried-and-true properties of gold is the ‘safe-haven’ aspect since gold needs no network nor counterparty; also, investors are more inclined to purchase gold as a safe haven asset in times of market or geopolitical turbulence.

For example, the largest of these geopolitical where gold acted as safe-haven events was the simultaneous Iranian hostage crisis and Russia invading Afghanistan from late 1979 to early 1980 (shown in the chart below).

largest geopolitical impact on gold chart
The largest geopolitical impact on gold- Gold price chart

Whereas the largest impact on bitcoin’s price to date has been a reversal of Tesla’s endorsement, which pushed the price down.

If your savings medium needs continual support from Elon Musk so that it holds value, a mistake has been made. Also, savers need something which stands on its own without endorsement or enforcement, they need physical silver and gold.

Are We Entering a Crypto Winter?
Catch Dominic Frisby Only on GoldCore TV

Click on the video to watch now

Buy Gold Coins

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Buy gold coins and bars and store them in the safest vaults in Switzerland, London or Singapore with GoldCore.

 

Gold & Silver Could Return As Money Through the Most Reliable Gold-Backed Tokens

BY SILVERBULLION SG

 

Russia Mulls Ordering State Firms To Switch To Euro, “Preparing” For Possible Disconnect From SWIFT

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Russia’s divestment from the Dollar is moving at an astonishing pace

 



Crypto Crumbles Amid Musk, Miami, & Meme Stock Miasma

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Who forgot to invite Elon to the Bitcoin conference?

 

Gold’s Middle Finger To Lying Currencies

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The players to this rigged game may be corrupt but they aren’t stupid. They may hate gold in public, but they own a lot of it in private…

 

The woke purge is coming for the military

BY TDB

TUESDAY, JUN 01, 2021 – 14:43

by Simon Black via Sovereign Man

Mikhail Tukhachevsky was only 42 years old when Joseph Stalin promoted him to the highest possible military rank in the Soviet Union.

As “Marshall of the Soviet Union”, Tukhachevsky had near supreme authority over all Soviet military forces. And he had been personally tasked by Stalin to modernize the military and prepare for war…readSoftBank Said to Plan $14 Billion Sale of Alibaba Shares…….read the rest of story below…..

 

The woke purge is coming for the military………………..

But Tukhachevsky’s new authority didn’t last very long. Shortly after assuming his duties as Marshall, he was quietly reassigned to an unimportant post… and subsequently arrested.

The year was 1936. And Tukhachevsky was suspected of plotting with the Germans to overthrow Stalin and implement a military dictatorship.

Tukhachevsky was brutally beaten while in captivity, and he confessed to being a Nazi spy after two days of relentless torture.

He was branded a traitor and executed.

Tukhachevsky wasn’t the only one, either. This was a period in Soviet history called the Great Terror, in which an extremely paranoid Stalin purged the military of anyone who showed any sign of ideological dissent.

The rest of the officers were quick to show Stalin that they were worthy, loyal comrades. Soldiers routinely ratted each other out and put each other on phony trials where a guilty verdict was a foregone conclusion.

During Tukhachevsky’s trial, one of the judges passionately recounted to the Soviet press how much he loathed traitors who were disloyal to Stalin:

“When I saw those scoundrels in the courtroom, I was shivering. A beast was in me. I didn’t want to judge them, but beat and beat them in a wild frenzy.”

This judge’s name was General Ivan Belov. And even though he tried so desperately to prove that he was a loyal party member by eagerly participating in the purge, Belov knew that the purge would eventually come for him:

“Tomorrow I shall be put in the same place [as Tukhachevsky].”

Belov was himself arrested, tried, and executed within eighteen months.

Over 36,000 Red Army officers were executed, sent to the gulag, or removed from command. This included the vast majority of the upper ranks— people like Tukhachevsky who had designed the modern Red Army, and knew best how to run it.

The end result was that Stalin had severely weakened his own military, which is why the Soviets were totally unprepared when Hitler’s forces invaded a few years later.

In fact Stalin was at such a tactical disadvantage in the early days of World War II that he released many of the purged officers from the Gulag, and forced them back into the military to help fight off the Nazis.

Paranoid authoritarian leaders often fall victim to this impulse to demand ideological purity from their soldiers.

And in a bizarre way, this is what’s happening in the United States now that the Defense Department has ordered its own purge of “extremism” in the ranks.

Last month, the Secretary of Defense issued a memo on “Immediate Actions to Counter Extremism in the Military”and chose a man named Bishop Garrison to head the “Countering Extremism Working Group.”

What does Bishop Garrison consider “extremism”?

In 2019, he Tweeted about “misogynist, extremists, other racists” and said “If you support the President [i.e. Orange Man], you support that. There is no room for nuance with this.”

So according to Garrison’s definition of extremism, at least 74 million Americans are extremists, including about half of the soldiers in the US military.

In a June 2020 article, Garrison wrote that such extremism “must be cut out like the cancer it has been for so long.”

Now it will be Garrison’s responsibility to create a lengthy screening process that all new military recruits must pass, in order to identify “specific information about current or previous extremist behavior.”

A memo from March 2021 outlines the “Extremism and Insider Threat in the DoD [Department of Defense]” and identifies symbols like the ‘OK’ hand gesture as potential signs of extremism.

Just recently a brand new Space Force commander named Matthew Lohmeier was reassigned, because he stated that, “diversity, inclusion and equity industry and the trainings we are receiving in the military … is rooted in critical race theory, which is rooted in Marxism.”

Bishop Garrison can now wield supreme authority to cancel anyone in the military who expresses the wrong opinion.

Obviously I’m not suggesting that the US is turning into a Stalinist regime.

But it’s clear that the Defense Department’s priorities have shifted away from maintaining the most effective fighting force in the history of the world.

Now it’s all about Diversity and Inclusion, from Special Operations Command to the Central Intelligence Agency.

This is classic thinking for out-of-touch bureaucrats, most of whom have never been anywhere near a combat zone.

If they had, they’d understand that when the bullets start flying, no soldier in a foxhole gives a damn about the skin color of the guy next to him. All they care about is staying alive, keeping their fellow soldiers alive, and accomplishing the objective.

Yet now, at a time when the Chinese military is rapidly catching up to the West in terms of tactical prowess and weapons technology, and may already be far ahead in terms of cyberwarfare, the top priority in the US military is now social justice… and stamping out ideological dissent from its ranks.

The policy changes are pushing many members of the military to leave voluntarily, something the Center for a New American Security calls a “looming retention crisis.”

According to their report, an alarming number of talented military officers are leaving the service.

Having some bureaucrat accuse you of being an extremist, when all you’ve ever done is put your life on the line in service of your country, probably doesn’t help this retention problem.

It takes decades of careful design and intelligent decision-making for a nation to build an effective military.

But it only takes 5-10 years of lunacy like this to wreck it.

On another note… We think gold could DOUBLE and silver could increase by up to 5 TIMES in the next few years.

 


BITCOIN – ANYBODY SHORT?

Source: Refinitiv, Refinitiv

All we hear is that people love bitcoin volatility, that they are happy to be down 20, 30, 40%, that volatility is a must (although nobody is managing it well), that bitcoin gives you freedom etc.
These are all non arguments, and the only thing that matters is the p/l, by now in free fall for most “new believers”.
P/L volatility to the upside is one thing, but p/l volatility to the downside is a different beast. Let’s see where we go from here, but as we outlined yesterday, skew has exploded as people have bought puts in panic. This could be a short term signal for a needed pause, but much damage has been done. Note the 50/100 day moving average cross, as well as the fact we remain below the 200 day moving average.
Second chart shows Fibonacci levels worth keeping an eye on.
Despite everything having happened in crypto space, we still have not heard of people running big bitcoin shorts…
3d ago at 4:24

COME ON FED – WHY CAN’T YOU MOVE MOVE LOWER?

Source: Refinitiv

We all recall how easily Fed fixed bond vol, MOVE index, back in 2019. A gentle push on the printing button and MOVE moved lower.
Post corona things are obviously much different, but despite the BS reaching new all time highs and is expanding further, MOVE just seems unable to return to normal…
3d ago at 3:00

CHINESE TECH – WILL YOU COME BACK AS WELL?

Source: Refinitiv

With NASDAQ on fire lately, and the CSI 300 breaking up big overnight, the “constant” dog, Asian tech, managed trading higher overnight.
Yes, px action remains poor, but do not forget how quickly this space moves when it decides catching up.
HSTECH vs NASDAQ getting rather wide.
3d ago at 1:40

GOLD TO FED – JUST CATCHING UP

Source: Refinitiv, Refinitiv, Refinitiv

Gold’s comeback has definitely managed confusing some people out there. In early May we suggested gold was “Waking up” as we wrote that upside in gold, (via upside call spreads) was looking attractive;
“Note 100 day moving is right around here, so it will take some “effort” to push gold above it, but given the fact nobody likes gold these days, a possible break out could be “dynamic”.
Gold volatility has imploded over past months in sympathy with other global vols. Recall that gold volatility trades with a positive “skew”. Sharp moves higher in gold are accompanied with moves higher in gold volatility. Playing a possible upside with call spreads makes sense here.”
Much has happened since then (especially post the latest bitcoin crash), but here we are, gold back in fashion, just when people had abandoned it.
First chart is the forgotten Fed BS vs gold chart people used to “follow” before. Is gold the true “debasement” trade after all?
Second chart shows the move higher in gold accompanied with GVZ moving higher as well (gold’s positive skew). Gold has a first bigger resistance at 1900 which will be crucial to watch. Note RSI has come a long way, so chasing gold here and now is starting to get a little late.
5d ago at 14:45

Karl Marx’s Road To Hell Is Paved With Fake Money

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Don’t believe their lies.  Just follow the fake money back to its origin… There you’ll find the Fed, hard at work, applying the pavement to Karl Marx’s road to hell…

Colonial Pipeline Paid Hackers $5 Million In Crypto Ransom Hours After Attack 

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The company reportedly paid the ransom just hours after the attack.

 


“No Panic”: Markets Surge As “Transitory Inflation” Narrative Reasserts Itself

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“…this changes nothing from the Fed’s view. The Fed is focused on the labor market, believing that any transitory inflation can be weathered by Consumers”


Sizzling Heat Building In Southwest

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Triple-digit heat will hit truckers across the Southwest over the next couple of days.


Goodbye Elon, Hello Steve Cohen: Point72 To “Get Big” In Crypto

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The firm is poised to “get big in crypto.”

EOS Soars As Thiel-Backed Group Inject $10 Billion Into Decentralized Crypto Exchange

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…the exchange will be known as “Bullish

Crypto now worth more than all US currency in circulation at $2.25 trillion market cap…

2nd Biggest Cryptocurrency Ethereum Breaks $4,000 to Hit Record High

Ethereum Soars Above $4000, Nears Market-Cap Of JPMorgan As Bitcoin Dominance Fades

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Cryptocurrencies crossed a key threshold in the last week, surpassing the value of all physical US dollars in circulation

SILVER ALERT! COMEX Default Looms as 10M MORE OUNCES Added to Potential May Deliveries!! (Bix Weir) – YouTube

China Officially ‘Enemy Number 1’ In Annual US Threat Assessment Report

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China increasingly is a near-peer competitor, challenging the United States in multiple arenas – especially economically, militarily, and technologically – and is pushing to change global norms…”

Hedge Funds Implode as Central Banks Get More Gold Bullion

jhanders's Photo

BY JHANDERS
SUNDAY, APR 11, 2021 – 13:38

The London Bullion Market Association made news today, publishing a new record high volume of supposed silver underlying all the various silver ETFs and unclaimed silver bullion float with various commercial banks and secure logistics custodians in London.

The claim made is that London increased its silver fractional reserve pile by over 124 million ounces in March 2021.

So just over 431 of this roughly 288,000 ounces of silver bullion supposedly flowed into London in the last 31 days.

For further perspective, imagine as if the entire COMEX registered supposedly deliverable silver pile equivalent poured into London vaults last month alone.

For another analogy on how unbelievable this claim is, this is akin to just under the entire underlying PSLV silver bullion pile in just one month, moving supposedly into these individual and or collective London six silver vaults.

LBMA Claims Record Silver in London Vaults

It was not but a few months ago when estimates were that London only had about 100 million ounces of silver bullion floating unclaimed by ETFs in the system.

Ronan Manly reported this in middle February 2021 about shrinking London silver bullion float inventories here on ZeroHedge.

Silver Bullion London Supplies Almost Gone – Feb 12, 2021

Interesting news this week regarding a large primary silver mine in Mexico, which decided to forgo selling precious metals during this spot price correction over the last two weeks of March.

Endeavor Silver plans to sell the withheld silver and gold metal inventory in anticipation of a precious metal price rebound in the second quarter of this year, 2021.

 

The Great Transition: Monetary Hopes To Fiscal Reality

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How long can markets party on like there is no tomorrow?

These Stocks Have The Most To Lose From Biden’s Corporate Tax Hike

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Full adoption of the Biden proposal would cut S&P500 growth to just 5% in 2022.


Futures, Global Stocks Hover At All Time High As Q1 Earnings Begin

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“Low inflation and dovish central banks should limit the rise in bond yields during the recovery,”


Is Bitcoin Displacing Gold As An Inflation Hedge?

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The digital asset’s increasing scale has made it a more viable competitor to the traditional protector against currency debasement…


Q1 will blow-out the blow-out expectations. Then what?

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Deceleration is a powerful force…

Debt-Fueled Spending Won’t Create Growth

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It is likely that “something has gone wrong” for the Fed… The limit of its ability to pull-forward future consumption through monetary interventions has been reached…




 


“Like The Wild West”: Arizona Sheriff Says Biden Border Crisis ‘Worse Than Obama Years’

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“Ridiculous” and “unfair”


Watch: Reporters Demand To Know Why They Have Zero Access To Border Crisis

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Border officials have been placed under gag orders, told to refuse ride-alongs with journalists…


The “Usual” Quant Strategies Aren’t Working Anymore

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Among those starting to get frustrated with the S&P’s uneven trading of late (mostly due to large whipsaws back and forth in the NASDAQ and growth to value rotation) are quants.


Washington Plans To Start Lifting International Travel Restrictions In 2 Months

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…the administration is preparing to start lifting restrictions on international travel in mid-May.


Facing Up To JP Morgan’s Leverage Relief Threats

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The Fed will shortly announce whether the special Covid relief measures will continue or not. Led by JP Morgan, the banks lobbied for an extension, claiming that ending forbearance will increase market volatility.


10Y Yields Cross The “Tipping Point”

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The pain is just starting.


De Blasio Says Cuomo Reopening NY For “Political Reasons” As More Women Come Forward

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“Afterward, a fellow reporter loudly observed that Andrew Cuomo seemed very into me. I was embarrassed, but at least is wasn’t my imagination, I thought.”


Retail Euphoria Turns To Pain As Rates Wreck Tech

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“A months-long gap between retail euphoria and institutional skepticism all but disappeared.”


Oil Crashes Most Since December As Inventories Jump, Demand Hope Fades

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We’re gonna need more OPEC+ jawboning!


Here’s How Americans Said They Will Spend Their Latest $1,400 Stimulus Check

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And the ideas financial advisors are offering for clients to allocate their money.


Watch Live: EMA Safety Review Finds Benefits Of AstraZeneca Jab Outweigh Risks

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Shocker…


Hammer Drop Imminent – On Yields Or Stocks?

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Never mind that the Fed has presided and instilled record wealth inequality expansion since the dawn of the age of permanent intervention…


Will History Repeat? Household Portfolios Are Oversized, Unbalanced, & Vulnerable

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The most significant vulnerability for household portfolios is a sharp rise in market interest rates. And the odds of that happening in 2021 are far greater than what is expected by investors…


Michael ‘Big Short’ Burry Says He Will Stop Tweeting After SEC “Paid Us A Visit”

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But why would the federal government want to silence one of the market’s most credible and popular contrarians?

 

 

 

ALERT! Just HODL your SILVER and your THETA!! (Bix Weir) – YouTube

 

 

 

 

 

  1. ALERT! Silver "Time to ACT!" & "Theta Girl" Rocks HIGHER AGAIN! (Bix Weir)
ALERT! Silver “Time to ACT!” & “Theta Girl” Rocks HIGHER AGAIN! (Bix Weir)

A post submitted by CGI member, BoldFenianMan:

****************************************

Investing in silver ETF’s such as SLV or SIVR or PSRV is not the same as HOLDING PHYSICAL SILVER! GET IT NOW….OR NEVER!
I BELIEVE THE BREAKOUT IS IMMINENT!

Just be Long & strong!

https://youtu.be/wtxr_yXDXTo

Palisades Gold Radio
53.1K subscribers
Tom welcomes Ed Steer to the show, Ed writes a weekly subscriber column on the gold and silver markets. He brings us a bombshell overview of what is happening in the metals market.

To subscribe to our newsletter and get notified of new shows, please visit http://palisadesradio.ca;

Ed explains how tight the silver markets have become and why the Comex is attempting to roll over as many contracts as possible to avoid delivery. They have reduced the fees to rollover contracts to near zero. There is some backwardation in silver for contracts in late 2021, revealing weaknesses in their ability to deliver.

Thousands of traders use the Comex markets, but eight large investment banks control more than half of the paper metals market. These big players are short 412 million ounces of silver, and it’s them versus the world. The thousands of other traders are entirely net-long as they understand this scheme is ending. If these large players were to let silver go, the price would rapidly become a sizeable three-digit number.

He feels these investment banks were caught completely flat-footed by the actions in the market in recent weeks. They have been forced to double down on their shorts to keep the market suppressed. Ed says, “Right now, these guys are fighting for their lives.”

Physical premiums are through the roof if you can even find the metal. The lead times from the mints are growing, and it will be many months before dealers can fully restock. He says, “There is no physical metal to be had…the market is tight everywhere you look.”

If the sleeping giants (aka the industrial users of silver) awaken to what is happening, they will want to buy everything available, making the situation much worse. Those in power are now desperate as these problems could lead to a massive currency crisis worldwide.

He doesn’t believe these banks can cover their shorts, and March deliveries will be very interesting.

Ed cautions, “Things are now in motion that can’t be undone. It’s going to be like the long-term capital management collapse we’re talking trillions, not billions… Hopefully, there is a world left to survive in once this is all over.”

Talking Points From this Episode
– Comex metals market activity.
– Large short positions and extreme risk.
– The suppression scheme is ending.

Time Stamp References:

0:00 – Intro
0:57 – Comex Price Spreads
2:32 – Backwardation
3:30 – Size of the shorts position.
6:45 – Caught off guard
7:57 – Spot vs. Physical Price
9:32 – Don’t Wake the Giants
10:54 – Why suppress the price
13:00 – Confidence & Currencies
14:09 – Forcing the issue
15:40 – JP Morgan’s holdings
17:34 – Causes of the March crash
18:09 – Huge Silver ETF Demand
20:27 – Sourcing the Silver
21:45 – SLV Physical Deliveries
23:06 – Prospectus Changes
24:44 – ETF’s & Finding Metal
25:27 – Disaster Cometh Soon
26:41 – Trillions, too big to fail?
27:40 – Extraordinary Times
28:10 – Wrap Up

WEDNESDAY, FEB 17, 2021 – 6:00

A Silver Price Manipulation Primer

Written by Craig Hemke, Sprott Money News

February 17, 2021

Actually, if you understand this, then the price action often makes sense. If you view the price charts from the perspective of a bullion bank trader, then you can see where technical analysis is used against you, the regular trader/investor. At my site TF Metals Report, we call this “Manipulation Analysis”, and it serves us all quite well. Let’s take recent action as your latest example.

The price of COMEX gold broke out to new all-time highs last August but has since been managed lower within a well-defined downtrend by the market-controlling Banks. And why do they do this? To keep the trend and sentiment moving downward for as long as possible in the hope of managing and covering their massive short positions.

On the chart below, the purple arrow is the upper boundary of the widely-followed “bull flag” on the weekly and monthly charts. It is imperative that The Banks keep price below this line for as long as possible, for any breakout—like the kind that was severely beaten back in early January—will be quickly recognized by traders, and price will begin a new and accelerating uptrend. Be sure to notice that every subsequent rally that has dared tap that flag line has been immediately crushed backward.

But also note the parallel red arrow below it. This line was initially enforced as resistance all through the fourth quarter of 2020, only now it serves as support—most recently on Tuesday, the 16th. The Banks have tried to smash the red arrow, too, but the current rush toward physical metal is prohibiting it. In the end, ALL trends are broken and it’s just a matter of time before this one is, too.

CHemke Analysis

But, anyway, this post is not about COMEX gold. Instead, it’s about COMEX silver and the ongoing, grassroots effort to squeeze the Banks through the acquisition of physical metal. This movement has generated such momentum that The Banks are getting nervous…as plainly evident by the actions of both JPMorgan and Aberdeen in regards to their allegedly “fully backed and allocated” ETFs.

Thanks to @BullionStar and https://t.co/DIvFwhiogM for alerting me to change in #SLV prospectus that let’s [sic] SLV off the hook if it is full of paper instead of #silver. This admission by SLV could be the trigger that launches the silver rocket. More here: https://t.co/w1EabVxOAN pic.twitter.com/0qr5NUj4Cy

— James Turk (@FGMR) February 14, 2021

Now SIVR (Aberdeen Silver ETF 1140 MT AG) has changed its Prospectus 2 Feb, panicking that “an online campaign intended to harm hedge funds & large banks is encouraging retail investors to purchase silver and shares of Silver ETPs to intentionally increase prices” #silversqueeze pic.twitter.com/WyEg7sL7pq

— BullionStar (@BullionStar) February 15, 2021

As an aside, ask yourself why the fund manager Aberdeen would feel the need to voice a concern regarding an “online campaign intended to harm large banks”. What the heck does that have to do with their supposedly fully-allocated silver fund? But I digress…

Since late January, the movement to squeeze The Banks has consistently gained momentum, and I’ve been asked on multiple occasions to compile a list of all the posts I’ve written for public distribution through Sprott Money since 2016. So, here’s the list. Please feel free to sort through, read, and forward as many as possible.

Of course, the length of the list would be much longer if I included everything I’ve written at TF Metals Report since 2010. It would be impossible to compile, too, since we discuss the price manipulation nearly every day. For now, though, let’s just start with the earliest I can find and work forward.

And for good measure, here’s one more link. I can’t find where I ever submitted it to Sprott Money, so I think it was only published to the TFMR site. When you have the time, you should DEFINITELY read this:

Abject Corruption

Anyway, I hope that all of this has been helpful over the years. The fight against the criminal forces that control the precious metal pricing scheme continues, and it is still far from over. However, if we can continue to apply pressure to The Banks through physical metal acquisition, a forced deleverage is coming. When that finally happens, you can be certain that the price discovered through a system that is more based in physical reality will not be $27 per ounce.

As always, prepare accordingly.

A Silver Price Manipulation Primer

Written by Craig Hemke, Sprott Money News

The Big Bluff in Silver – Weekly Wrap Up

Written by Craig Hemke, Sprott Money News

It’s Just a Question of When

Written by David Brady, Sprott Money News

Wild and Tumultuous Week in the Precious Metals – Weekly Wrap Up

Written by Craig Hemke, Sprott Money News

It has been a long ten years, but it seems that the investing world is finally beginning to realize that the globally-recognized prices of gold and silver are managed and manipulated by the Bullion Banks, which operate as market makers within the fraudulent fractional reserve and digital derivative pricing scheme.

Actually, if you understand this, then the price action often makes sense. If you view the price charts from the perspective of a bullion bank trader, then you can see where technical analysis is used against you, the regular trader/investor. At my site TF Metals Report, we call this “Manipulation Analysis”, and it serves us all quite well. Let’s take recent action as your latest example.

The price of COMEX gold broke out to new all-time highs last August but has since been managed lower within a well-defined downtrend by the market-controlling Banks. And why do they do this? To keep the trend and sentiment moving downward for as long as possible in the hope of managing and covering their massive short positions.

On the chart below, the purple arrow is the upper boundary of the widely-followed “bull flag” on the weekly and monthly charts. It is imperative that The Banks keep price below this line for as long as possible, for any breakout—like the kind that was severely beaten back in early January—will be quickly recognized by traders, and price will begin a new and accelerating uptrend. Be sure to notice that every subsequent rally that has dared tap that flag line has been immediately crushed backward.

But also note the parallel red arrow below it. This line was initially enforced as resistance all through the fourth quarter of 2020, only now it serves as support—most recently on Tuesday, the 16th. The Banks have tried to smash the red arrow, too, but the current rush toward physical metal is prohibiting it. In the end, ALL trends are broken and it’s just a matter of time before this one is, too.

CHemke Analysis

But, anyway, this post is not about COMEX gold. Instead, it’s about COMEX silver and the ongoing, grassroots effort to squeeze the Banks through the acquisition of physical metal. This movement has generated such momentum that The Banks are getting nervous…as plainly evident by the actions of both JPMorgan and Aberdeen in regards to their allegedly “fully backed and allocated” ETFs.

Thanks to @BullionStar and https://t.co/DIvFwhiogM for alerting me to change in #SLV prospectus that let’s [sic] SLV off the hook if it is full of paper instead of #silver. This admission by SLV could be the trigger that launches the silver rocket. More here: https://t.co/w1EabVxOAN pic.twitter.com/0qr5NUj4Cy

— James Turk (@FGMR) February 14, 2021

Now SIVR (Aberdeen Silver ETF 1140 MT AG) has changed its Prospectus 2 Feb, panicking that “an online campaign intended to harm hedge funds & large banks is encouraging retail investors to purchase silver and shares of Silver ETPs to intentionally increase prices” #silversqueeze pic.twitter.com/WyEg7sL7pq

— BullionStar (@BullionStar) February 15, 2021

As an aside, ask yourself why the fund manager Aberdeen would feel the need to voice a concern regarding an “online campaign intended to harm large banks”. What the heck does that have to do with their supposedly fully-allocated silver fund? But I digress…

Since late January, the movement to squeeze The Banks has consistently gained momentum, and I’ve been asked on multiple occasions to compile a list of all the posts I’ve written for public distribution through Sprott Money since 2016. So, here’s the list. Please feel free to sort through, read, and forward as many as possible.

Of course, the length of the list would be much longer if I included everything I’ve written at TF Metals Report since 2010. It would be impossible to compile, too, since we discuss the price manipulation nearly every day. For now, though, let’s just start with the earliest I can find and work forward.

And for good measure, here’s one more link. I can’t find where I ever submitted it to Sprott Money, so I think it was only published to the TFMR site. When you have the time, you should DEFINITELY read this:

Abject Corruption

Anyway, I hope that all of this has been helpful over the years. The fight against the criminal forces that control the precious metal pricing scheme continues, and it is still far from over. However, if we can continue to apply pressure to The Banks through physical metal acquisition, a forced deleverage is coming. When that finally happens, you can be certain that the price discovered through a system that is more based in physical reality will not be $27 per ounce.

As always, prepare accordingly.

About Sprott Money

Specializing in the sale of bullion, bullion storage and precious metals registered investments, there’s a reason Sprott Money is called “The Most Trusted Name in Precious Metals”.

Since 2008, our customers have trusted us to provide guidance, education, and superior customer service as we help build their holdings in precious metals—no matter the size of the portfolio. Chairman, Eric Sprott, and President, Larisa Sprott, are proud to head up one of the most well-known and reputable precious metal firms in North America. Learn more about Sprott Money.

A Silver Price Manipulation Primer

Written by Craig Hemke, Sprott Money News

The Big Bluff in Silver – Weekly Wrap Up

Written by Craig Hemke, Sprott Money News

It’s Just a Question of When

Written by David Brady, Sprott Money News

Wild and Tumultuous Week in the Precious Metals – Weekly Wrap Up

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