CFTC To Vote On 10% Position Limit Proposal Next Week

Tyler Durden's picture

Just crossing the wires now. If this passes, Blythe is most likely toast.

More as we see it.

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Cdad's picture

Selling JP Morgan into it....

NoLongerABagHolder's picture

Selling? Why would you do that? Buy the f-in dip.

Cdad's picture

Because I'm an f'n rebel.  I'll leave the dips for you, buddy.

It took a lot of volume in that last hour just to hold it together.  Euro rolls over tomorrow and blows dip buyers' minds...

Turd Ferguson's picture

I just don't see how this is PM positive in the short term. The market is telling you otherwise.

Cdad's picture

I is not positive for PMs in the short term.  This story is not positive anything [if your measurement is price appreciation]. 

It is positive in terms of regaining some measure of control over criminal syndicate Wall Street bankers that are currently running amok destroying almost everything in sight as they try to figure out the perfect algorithm for arbitraging everything on the surface of the mere minutes.

I guess that is why I chose to respond to the story by selling JP Morgan.

I'm confused by your post, Turd.



Dr. Richard Head's picture

Buying silver now.  Not that it could possibly pass, but still a good silver buy opportunity yes?


terryg999's picture

I think so too.  Monday might be better, but what is .35 - .50 over the next 2-3 years?

Dr. Richard Head's picture

What is it?  Nothing more than a difference between the amount of toilet paper required for ass wiping.


Hi-yo Silver away!!!!! - The Lone Ranger

Oracle of Kypseli's picture

There is no movement on gold or silver spot after the news.

Is that baked in?

goldmiddelfinger's picture

It's baked in like constipation. It's sooo hard to shyt bullion

Dr. Richard Head's picture

I don't know who junked you because that was pee in your pants funny.

Turbo Timmy suggests you try some fiber (aka Fed Notes) for your condition. 

Dr. Richard Head's picture

I think these charts really show a bitmore about what is happening in the metals market, at least from gubermint numbers -

goldmiddelfinger's picture

Eagles/bullion purchases represent only the un-levered buyer using a musket and not any true seller opinion. The two sided futures spec is the guy with enriched plutonium and a delivery system. (AKA The Bunkie Hunt/Bache method)

NumberNone's picture

ZH tends to gets news out before the world even has a chance to notice it much less read and digest it.  If it is going to move markets it will be tomorrow or maybe even next week. 

Dr. Richard Head's picture

Which is exactly why I am OCD on this site.  In fact, my family is about to stage an intervention. You would think at 32 I would have the right to get informed as I wanted, but they say it is excessive. 

Hi, my name is Dr. Richard Head, and I a Zerohedge-a-holic.  One year and three weeks ago I encountered this site which spoke the truth about matters and actually substantiated their news with facts and charts.  They cut through the bullshit of the boobtube and ever since then I haven't been able to function as the rest. 

breezer1's picture

hello, my name is breezer1 and i am a zerohedgeolic. i also am addicted to bill banzai7 media. where's the next meeting?

MachoMan's picture

Bob.  Bob had bitch tits.

we're still men

yes, we're men

men is what we are

Max Hunter's picture

Hi Dr. Head

Hi. Mr. Breezer

Thanks for attending.. Coffee is in the back and 7 min cigarette breaks are scheduled for every 15 minutes. We hope the 8 minutes between cigarettes provide you with helpful reflection.  

strannick's picture



Me too, but Im not taking any 12 step program, though I would buy that "Im ..... and Im a ZH-a-holic' T-shirt.

Red Neck Repugnicant's picture

This news has been obvious for 7 months.  It was part of the Dodd-Frank Bill from last July.

You can be rest assured that the vampires at GSCI will still win.  While the proposal sets position limits on investment banks' proprietary accounts, it will allow them to hold positions on behalf of end-users like ADM, Kraft et al.  

Why doesn't ADM just hold these positions themselves?  It's just another regulatory reform shell game that still enables the vampires access to your blood. 

Fucking bullshit, as always.


El Hosel's picture

    Better watch this all play out, key reversals in currencies and market are overdue. Silver is good, cheaper silver is better.

brushfire's picture

good luck bro. i dont know what position limits will mean for the price of any commodity, but i am SURE the position limit rule (if enacted) will have absolutely NO impact on JPM or its share price. however, i disagree with roboretard and others who think the banks are invincible on this issue. you cant defy the laws of supply/demand forever - look at the morgtage market. eventually supply/demand will dictate the price of gold and silver. when that occurs is anyone's guess. trading on CFTC "rule changes" is a suckers bet.

Cleanclog's picture

OT but who got the jobs # leak for tomorrow.  Close a quick buy, some PDs know something.

EscapeKey's picture

Huh? All I see is the usual PPT ramp job before close, to make sure we don't drop more than the allowed 0.2% in a day.

On basis of Macy and Target BEATING expectations (*), why wouldn't the market be up?


(*) Q1 '95 expectations.

Cleanclog's picture

Good enuf.  A little fade at end, so not the last 10" rocket it first seemed.  A non event waiting for tomorrow.  More than our unemp #, the bigger news will be out of Europe and more shenanigans, not that US Centric markets will care.

ZeroPower's picture

Lots of ppl suggesting a nice healthy number. BarCap suggested something like 400K, way above consensus, other banks ive heard say they expect in the 200k range. Also, perhaps more importantly, ben shalom is speaking an hour after the # comes out, hes expected to reaffirm the need to finish QE2 and potentially discuss what lies on the path ahead.

After not being in the market all of last yr, i BTFD yesterday and will probably hold for a little while as, despite joking bout BTFD, i thought, why the hell not.


Abiggs's picture

Pos limits in energy have hit quite a few gas & power shops. Hard to make money when you're capped at 7k contracts across all months and basis trades around $4 bucks. Metals traders will soon feel it too...

Yet the trillions floating around in credit derivatives are A OK...

ZeroPower's picture

Yes, limits are a bitch but you deal with them. Also doesn't hurt the massive gains comm. shops made the past few months, some traders prob got a bit more leeway from bosses lol.

Cred der's...yes, well, if theres no bid for your particular HY POS, then its not 'really' worth 0, just N/A ;)

Abiggs's picture

Not much leeway around here - no desk head wants a pending CFTC investigation on their hands. Our "hedging" business, which has normally been the cash cow, had the worst year on record...

Crude traders made some coin this year but the same can't be said about gas. Pure gas shops had a tough year...

EscapeKey's picture

How many CFTC commissioners would you have to pay off to.. ehm... influence the verdict?

Max Hunter's picture

Are you talking about the ones not already on the payroll?

Lord Koos's picture

I'm not sure that "news" gotten from animated bears is always the thing to follow.

dan10400's picture

If something like this would pass and JPM would be toast, isn't it all the more reason to expect that it will not pass?   I mean, what is the track record on this type of bet?

tmosley's picture

No reason to think they would actually be toast.  Their short position might blow up, but any losses will just be papered over.  

All it means is PM prices will rise.  TBTF won't be hurt by this any more than they were hurt by their bad mortgage bets.

bugfixx's picture

Any losses will be eaten by the American taxpayer. The banksters don't do losses.

Lord Koos's picture

If JPM has outsourced their short positions and their manipulations then nothing will change in the near term.

firstdivision's picture

We all know if it is to be "voted" upon that it will ultimately fail.  Same old dog and pony show.

Abiggs's picture

First, it has been a while for me - I recently came across one of your comments from this summer and couldn't help but put it up...

by firstdivision
on Tue, 07/06/2010 - 23:36

What you are implying is that technicalities are the end all be all.  Did you stop and think for a second why desks have been unwinding a lot of risk lately?  Maybe the technicals are not correct on their calculus.  It is too hard even with Mandelbrot's model to emulate randomness (which I hope you do not subscribe to the EMH as your professors like to tout).   You can go long on your technicals for the short-term and I will sit short for the long term.

No hard feelings buddy :)

topcallingtroll's picture

The silver top is in! Dont forget you heard it from the troll first.

oddjob's picture

If the top has been put in you are roughly 31 years late on that call.

apberusdisvet's picture

Tyler: will these hearings be public and if so, please provide a link so that we can watch them

SDRII's picture

"IF" it passes it will be phased in over 20 years bit like basel. JPM = Sempra = Singapore Gold vault

NOTW777's picture

they gave JP time for mitigation measures