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Something Just Snapped At The Comex (Updated)
Update: Earlier today, we said that we would "keep a close eye on today's Comex update to see if JPM reverses this "adjustment" and adds at least a few more tons of deliverable gold to its vault." Moments ago we got the daily update form the Comex and not only did JPM not reverse its registered to eligible adjustment, but more curiously, the second largest vault, that of Scotia Mocatta (behind only HSBC) saw a comparable adjustment, whereby 16,644 ounces of gold, or about half a ton, and 14% of its vault total, were adjusted away from "registered" and into the "eliglble" category.
This means that the already record low total registered holding across the Comex system, declined once again this time by 8.3% and hit a new all time low of 185,315, or less than 6 tons.
This means that what was already a record dilution factor, with over 200 ounces of paper gold claims for every ounce of deliverable gold, just soared even more, and following today's 8% drop, there is now a unprecedented 228 ounces of paper claims for every ounce of deliverable "registered" gold.
For those who missed the full story from earlier today, please read on.
* * *
Just over one month ago, when looking at the latest changes in registered gold held at the Comex ,we were stunned not only by the collapse in this series to a record low of just over 350k ounces or barely over 10 tons, but also by the surge in "gold coverage", or the amount of paper gold claims on physical gold, which exploded to a record high 124 per ounce.
This is what we said on August 3:
While on its own, gold open interest - which merely represents the total potential claims on gold if exercised - is hardly exciting, as we have shown previously it has to be observed in conjunction with the physical gold that "backs" such potential delivery requests, also known as the "coverage ratio" of deliverable gold.
It is here that things get a little out of hand, because as the chart below shows, all else equal, the 43.5 million ounces of gold open interest and the record low 351,519 ounces of registered gold imply that as of Friday's close there was a whopping 123.8 ounces in potential paper claims to every ounces of physical gold.
This is an all time record high, and surpasses the previous period record seen in January 2014 following the JPM gold vault liquidation.
Another way of stating this unprecedented ratio is that the dilution ratio between physical gold and paper gold has hit a record low 0.8%. Indicatively, the average paper-to-physical coverage ratio since January 1, 2000 is a "modest" 19.1x. As of Friday it had soared to more than 6 times greater.
One month ago we showed this record surge in gold claims as follows:
But if last month was shocking, then what the COMEX revealed yesterday was absolutely jaw-dropping.
Here is the most recent update provided by the CME on eligible and registered gold.
What it reveals is that while JPM saw another 90,000 ounces of gold once again withdrawn from its vault, this time in the eligible category, for some reason a whopping 121,124 ounces of registered gold were reclassified as eligible. In doing so, JPM's registered gold (red line in chart below) tumbled to a record low of just 19,718 ounces - an 86% collapse in just one day - and well under 1 ton of gold, some 600 kilos of physical gold available to meet delivery requests to be specific!
JPM's dramatic adjustment also meant that total Comex registered gold has likewise tumbled to the lowest in history of just 202,054 ounces - just over 6 tons - available for delivery.
Zooming in only on the registered gold since 2014:
Not surprisingly, the latest collapse in registered gold took place while the gold open interest remained flat, and in fact has been modestly rising in the past year as seen below:
Which brings us to the punchline chart: the Comex gold "coverage" ratio, or the amount of paper claims for every ounce of physical. As of Friday this number was literally off the chart (it would not have fit on the previous chart shown up top), soaring to a mindblowing 207 ounces of paper gold claims for every ounce of deliverable gold. This also means that the dilution ratio between physical gold and paper gold has hit a new all-time low of just 0.48%!
And while we know what caused this epic surge in potential claims on gold - namely the relentless outflow in registered gold - what we don't know is whether this is a systemic event, one which threatens the next Comex gold delivery request with an "insufficient product" response, and a potential default, or simply a one day abnormality.
What we do know is that, if only for one day, something at the Comex has snapped.
We will keep a close eye on today's Comex update to see if JPM reverses this "adjustment" and adds at least a few more tons of deliverable gold to its vault, and if not, perhaps a phone call or two may be in order.
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@Fester,
"Patients"
That's what I'm hoping for the folks that have stolen for centuries.
You must be a doctor and not a doctorate of the English language or grammar.
Patients / patience
No wonder this country is fucked.
Keep on voting America.
You get what you deserve.
You must be a doctor and not a doctorate of the English language or grammar.
Patients / patience
No wonder this country is fucked.
Go ahead and blame it on your iPhone spell checker, Copernicus.
And how is it that you know he did not have peopled lined up to see the grasshopper for medical advise?
I normally would not help like this but it is egregious. I advise you to buy a dictionary, then you may consult it for some good advice, medical or otherwise...
If only 1% of these future holders demand the physical asset the COMEX is empty and in default. As the number of paper claims to physical increases the probability of default increases. This probability of default, is also factored in in the futures prices. So what you see in the price is not only supply and demand, it is also counter party risk.
COMEX will never "default", in the classic sense of the word "default". They simply cut you a check for the amount of what you are demanding and, of course, they would get that "cash" from the FED. Having said that, if every player on COMEX simply walked away, and did not buy or SELL "paper" gold, now that would be a serious problem for COMEX. Since they have fixed costs, that's called bankruptcy.
They will give YOU a check because there is nothing you can do about it. State entities have a hell of a lot more clout and leverage than you.
In 2012, as a consequence that the CME Group handles the DERIVATIVES Market, Obama declared them Too Big To Fail.
If legal remedy does not exist then there are always other alternatives.
The abandonment of the Rule of Law by the Government is a good indicator that one likewise adapts and abandon the Rule of Law.
It helps that COMEX GC contracts are 100 oz, which is a non standard wight anywhere but at COMEX. It also helps that the COMEX purity is below any international standard. You cant take COMEX good delivery bars and melt them into Kilos or 400 ouncers as the stuff is .995 with a wide tolerance, so it would have to be refined. It helps that the fees are prohibitory for the little guy that wants to take delivery on ten contracts or less.
Size------- Wrong
Purity------Wrong
Fees-------too high
Only a big player that wants to make a point would try to take delivery. The big boy then could look forward to some ugly pressure for the rest of his natural life from Treasury Dept. (IRS)
That is not to say that it could not be done. It would be a grand show.
I am sure the Kremlin and Beijing give a fuck about the IRS. Demanding delivery of a huge position is not a financial move. It is a foreign policy move.
How much Physical Gold did Germany get from their demands?
Nope, you have to factor in the margin accounts first. Once they are all settled - then you can start calculating price.
bottom line, there is NO PRICE DISCOVERY, period!
That means the price could be zero just as easily as it could be $1,000,000,000 an ounce.
No means no and the risk that this implies is fucking insane.
Personally, I see massive capital and resource misallocation everywhere...
Reality is not being priced only the game is being priced.
In the end, when you actually execute the transaction, everything is priced in. I am not talking about phoney-baloney quoted prices - but what you actually pay. Everything is factored into that price.
The crookedness of the market, the legality of the transaction, the chances of getting caught if you are buying/selling contraband, your position in society, it's effect on your income taxes for the next year, and the effect on coffee prices 5 years from now. It's all factored in.
The free market is just that: Free. It exists outside of all rules and regulations - though those rules and regulations can affect market prices - they can never bind it.
IMHO the "efficient market hypothesis" is passe' ----today the market is front run by insiders and HFT and that is never priced in. Stops are run by HFT and that is never priced in. Prices are arbitrary and not subject to price discovery and that is never ever priced in.
When you want a ham, you don't see a Jewish butcher.
When you want physical gold, you don't go to the COMEX.
EXACTLY!!!! All signs point to a complete lack of product for JPM to have in vaults, the world is coming to an end and the manipulation scheme is uncovered.....only to see gold fall.
Hmmm, last time JPM was this "net short" in product was 2013 which set into motion the fall from from $1500 to where we are today. I can't wait to see what happens next.
JPM seems to be getting out of the gold business or they are robbing the vault in broad daylight. Either way, JPM is selling formula it can not validate.
If this gold priceing model fails how does JPM make money? Hedgeing, so how are they headgeing? New products or existing products.
At that time people still had a rising stock market take their settlement check to,or real estate or somewhere. Today their is no place to smartly put that money (except maybe bitcoin). People won't sell, the only supply on the market will be fresh paper. Expect this number to continue up, until a customer with an army demands their gold.
Paper gold and bullion is getting further and further apart. They are no longer remotely the same, and only a shake up will make that clear.
Anyone with paper claims better stake a claim for the real thing. The ones that convert early converts best.
The other 206 out of 207 will get nothing, nix, intet, nichts, zilch, nada, fuck all. Can it be said any clearer??
Blinking morons!
Would you care to speculate who that 1 of 207 would be? Curious.
I would count me amongst them! for sure!
"And gold is down $10..."
When the ratio hits 2400 : 1, gold will go down a lot more than $10.
I can imagine, without it even seeming sureal anymore, that the price of gold will go rapidly towards $0 during a comex collapse (as the freegolders predict) and that while this will be covered in huge media headlines, the reset price afterwards won't be mentioned.
That is to say gold bullion will sell for $50K an ounce and "He bought gold" will also be a catchphrase about how people went broke. We really seem to be moving into two societies here. I kinda feel bad about no longer caring.
"I kinda feel bad about no longer caring." -- don't this is the natural outcome for experiencing a "just-us" system, years of fucking theft and oligarchs pissing down your back telling you that it is raining. fuck em.
Gold down $20 as the pig farm on Wall Street continues to rape America with the help of the all Tribe at the Federal Reserve Bank!
if you're in the club and have paper options, you will certainly be first in line to claim.
Let us not forget the fine print at the bottom of the page:
The information in this report is taken from sources believed to be reliable; however, the Commodity Exchange, Inc. disclaims all liability whatsoever with regard to its accuracy or completeness. This report is produced for information purposes only." And gold is down $10"
Makes perfect sense if you think about it.......... If you know you are not going to be able to deliver on the gold people think they hold in your bank and you are going to have to deliver at yesterdays price in dollars then you want to get the price of gold low to make your cash settlement less. Only a few more days before a lot of people realize they hold fiat and not gold.
KITCO HONG KONG FOR THE FIRST TIME HAS NO SILVER LEFT TO SELL
KITCO USA WONT BE LONG BEHIND IT...
THE WHOLE SILVER MARKET IS GONE~!~~!!~~!!!!!!!!!!!!!!!
let me guess, "silver could go to $150-$150,000 per ounce as it more rare than gold"
silver at 150k per ounce and your neighbor would have already ate you and your family, and your dog.
Congrats Maplehood, the highest up vote count I have ever seen!! succint and to the point...
Looking forward to when that 207 turns into ?.
Awe what the fuck Tyler, no symbol for Infinity in here?
Option 5 keystroke (on a mac anyway)
I believe you were looking for this? (Character map; let's see if it works when I hit "save") ?
Edit; ah, poop, it changed it to a question mark.
Seriously, as often as we need the infinity symbol...
OO, or just write "infinity".
I say bring back the captcha, then bring back the gold standard!
?
An interesting replacement for the oo infinity symbol, I thought.
LOL
8 heres one, but its broken.
I see infinity most of the time when I stare into thulsa dooms' fountain water
tried alt codes, but this website does not play that way.
http://www.alt-codes.net/
F*#k You Banksters! Blatant manipulation! I bet a gold eagle that every banker on the planet has a safe FULL of the barbarous relics.
it is either in your possession and guarded by a gloch or you wont own it
Colt .45 Series 80 here; on-site and dedicated.
124 paper claims per ounce? Nah, this game isn't rigged. Nothing to see here folks...move on.
Would love to see the same stats on silver.
-Argenta
"Price will solve everything."
--Some dumbass quoted by Kyle Bass.
To the infinity!
soaring to a mindblowing 207 ounces of paper gold claims for every ounce of deliverable gold.
That's what happens when the Fed consistently manipulates gold lower by selling a few billion dollar's worth in a nanosecond at 3 am
The last honest Fed chairman explains:
Paul Volcker: Gold Was the Enemy
“Gold was the enemy to me because that was a speculative vehicle while I was trying to hold the system together. [The speculators] were on the other side.”
Then and now, the gold price is viewed as the inverse price of the confidence in the system. If gold is high, it usually means something is amiss. In Volcker’s time, the high inflation and budget deficits of the 70s propelled gold from a low of $35 before 1970 to a high of $668 in 1980.
http://www.theepochtimes.com/n3/1299447-paul-volcker-gold-was-the-enemy/
I only have 15 rounds in my Glock. I am not sure I could fight off the 188 folks scrambling for my gold.
A kukri never runs out of ammo.
Get your 100 round drums while you still can.
Boiling oil. Just after the moat and just before the portcullis.
with my sword the blood of 188 bodies would flood out of my house.
I heard Volker's Voice too
Fuck, this ramp up is pretty insane even if predictable
Razor wire, funneling, choke points, is this your first day?
If you can afford good, you shold be able to afford an AR or AK.
I have shot guns for the choke points. And ARs from a distance. If they are close enough to my gold, I think we may be employing the KaBar.
Not to worry, nobody ever takes delivery from the Comex, and anyway there's still 682 tons in GLD to be sold out before a real shortage is noticeable.
Fortunately for the COMEX, there's a clause hidden in the fine print that allows cash settlement. Problem solved!
Isn't it even better than that?
I thought Comex gave itself the right to settle delivery demands in GLD shares and then GLD changed their rules so that anyone cashing in their GLD could be paid in Comex receipts.
You gotta hand it to the financiers. In the end the only thing that allows them to get away with this shit is the peculiar moral authority they possess and a cursory investigation shows they gave themselves that as well.
I bet everyone reading this has tried to tell an outsider about the central banks or the comex and been told, "Well where did you get YOUR phd in economics? I think I'll trust the experts and not some guy whose into blogs."
It is not really that hidden, but he point is that there is sufficient confidence that you can settle in physical. If they come out in the open and force cash settlement, they have lost control. BTW, go tell some major futures holder from China or Russia, which is probably a state/government agency, that they can only settle in cash. It will be deemed an openly hostile act. Watch what happens when they openly come out and demand their gold, or the gloves are off with the US.
"If they come out in the open and force cash settlement, they have lost control."
The one part of the gold thesis that I have come to reject is this idea (specifially among the masses) that there will be a moment where "everyone loses faith and demands the real thing".
Based on my observations, the Comex could cash-settle and Krugman could calm everyone by simply writing:
"...now there has been much predictible hysteria among the Austrian bloggers about a 'comex default', but the simple truth is that the contract holders were made whole in cash because there wasn't any gold available at the time it was requested.
There is nothing unusual about this except to those who fear a central banker is hiding under their beds. Everyone has been made whole and not a single investor has lost anything. In fact, gold prices in comex trading have fallen notably since the settlement due to a lack of investor interest in gold. How many of the people who were paid cash last month wish they were still holding those contracts or the gold now?
If the bloggers ever get their wish of shutting down the comex, gold will no longer be an international market and the value of their relic will be set by whatever liquidity is available locally. They really need to think these things through but they won't because they are blinded by ideology..."
Wow, I'm getting good at thinking like an asshole, but you get the drift. A comex default wont be seen as a big deal outside this and a few other blogs.
You think major holders, particularly when they are foreign government entities will give a fuck what Krugman has to say? Ok hypothetical scenario. COMEX defaults. Large position held by Chinese/Russian government fund is about to be settled in cash. China/Russia steps in and declares they demand full settlement in physical. Then what? I am certain that the Chinese and/or the Russians have probably created such a position in the COMEX precisely for this reason and this reason only.
Suppose COMEX defaults, China uses the Shanghai physical exchange to set the price of gold to whatever THEY want to in USD terms, turn around and declare that they will confiscate US assets on Chinese soil to that amount. Further they openly declare that they will be dumping all their treasury and USD reserves as anything from the US is not worth the paper it's printed on.
Russia will just regard it as a hostile act and declare that it will retaliate by all measures they see fit. It will really suck for Eastern Europe. Then the FSB(whatever it is today) springs to action and bankers and Krugmen start dropping dead left, right and center just to make a point (fraud against the Russian people never goes unpunished blah, blah), while the Kremlin openly calls for harsh measures against US interests across the world.
Are you sure these two don't want the COMEX to default on the positions they(plausibly) hold? Are you sure the US will have any allies left by that time? And what happens to the foreign gold held by the Fed? Will Germany and everybody play along, or will they also go nuts against the US?
Since all the things you write about will likely happen, we will see about the response by others.
In the meantime I keep hearing about how "the people" arent "going to stand" for various shit but...
- I watched Germany ask for their gold back and result was a default by any sane standard. No one appears to have cared.
- I watched MFGlobal steal money from brokerage accounts. No one cared.
- I watched Cyprus, an EU country steal (bail-in) Euro denominated deposits from regular people in a widely publicised plan signed off on by the ECB, IMF and World Bank. No deposit run in Europe came from this.
- I see Greek people STILL with hundreds of thousands of Euro in their banks.
- I see a Canadian blogger laughing out loud at the lunatics who think a bank bailin could happen in Canada even though exactly this has been enacted into law.
- I see semi regular "flash crash" events in the financial markets that seem to be of little interest to the people around me.
- I watched the Irish vote in a Prime Minister campaigning on an explicit rejection of bank bailouts who immediately bailed out the banks with Irish pensioner money. No revolt there.
- I watched the Greeks vote No on an austerity plan only to have their govt sign a much harsher plan two weeks later. No revolt.
- I watched the Swiss get bullied by their central bank out of securing their national gold on the grounds that it would stop them from running a currency peg they dropped a month later at a huge loss to the nation. No revolt.
And on and on and on... And every single time I was told, "The people in country X aren't like the people in other places, you can't fuck with them, this is gonna be EPIC".
I think it was maybe the poster knuckles who said there will be no reaction from the public until the supply lines break.
I bet even problems getting food and fuel won't immediately cause the public to start asking questions beyond the usual Red Team Blue Team bullshit.
But we will see. In the meantime, the Western public finding out they can't get gold they don't want anyway will be a footnote if they notice at all.
"At least when Obama was president I could go to the store and buy some groceries." /s
SMH
Almost the only thing now that would wake up the sheeple is when the Internet gets turned off. Then its too late.
nice post
Seven Meals from anarchy...Most have not stored any food.
That revolt happens when supplu lines break and people need to feed their children.
Are you about to let yours starve?
Agent D: Cash settlement is probably already occurring, when necessary. No one complains because they settle at a cash price much higher than the quoted (paper) price.
Cash settlement with a nice cherry on top AFTER you sign the NDA.
If I had a spare couple of hundred grand laying around I'd be tempted to buy futures and try to take delivery on them. I wonder how much TPTB are offering folks that stand for delivery (assuming it's not a threat with a nail gun)? This may actually be a fairly common thing that is occuring in the midst of this debacle. Imagine if you found out a year or so ago you could make 20% a month by threatening to take delivery then turning around and buying physical with that 20%. It wouldn't take very long to find yourself with a risk-free trade.
"It wouldn't take very long to find yourself with a risk-free trade."
Or pushed 15' down an embankment to your untimely death.
yea especially when for the first time Ive ever seen over 60 contracts standing for delivery when off the board unfilled last month without so much as a hint of explaination or accounting . How this is even possible is beyond me.
The rules are arcane and opaque, there's no point even trying to analyze the daily ins-and-outs.
Much as I believe in a "consipiracy" amonst the elites to obscure the movement and posession of large amounts of physical gold, I sometimes get through reading a GATA type paper showing all kinds of circumstantial evidence supporting one conclusion or another and I start to wonder...
Maybe they are trying desparately to hide the truth from the public because the whole system would collapse if we knew, but maybe they are just genuinely baffled at the thought that they owe outsiders any explanation at all about what they are up to.
So when a guy like Ron Paul wants to audit the Fed, the Fed might be against it for practical reasons, but even moreso I wonder if they dont just bristle at the very idea of having to converse with the useless eaters.
I bet there are people high up in the Comex system who genuinely think they are doing a good job and don't understand what all the fuss is about (if they are even aware of GATA or blogs like this one in the first place). Like a 19 year old enlisting to defend America from Terrorists, they have no idea at all about the kind of machine they are a cog in.
True, that's why the desperate attempt to ban cash. Look at all the stories in the last 4-5 months about the need to ban cash. Those fuckers know what's going on.
I have a young coworker (non ideological as far as I know) who, and I quote, "fucking HATES cash" and refuses to carry it.
On a slightly unrelated note I know a number of people who have heard about the spyware in windows 10 and said they upgraded right away and love it. I bring that up becuase as the liberty side tries to remind the public of just what could be done to us in a cashless society, you might observe a sudden love for big brother emerging.
A guy named Stephen Cohen comments on Russian politics and mentioned in passing that he knows people who have family members who were killed by Stalin who still think Stalin was a great man who did to their parents what he had to do.
https://blockwindows.wordpress.com/
They are getting Win 7 and 8 users too through updates.
https://github.com/WindowsLies/BlockWindows/
Folks, switch to Ubuntu or a Linux flavor..
Don't pull a Hillary on yourself.
(YOU DO understand what these types of data "policies" means for us, our ideas, our economic - physical security, etc. going forward, DON'T YOU?)
Name the ISM for $64.00
They don't care. They are doing nothing wrong; they have nothing to hide, don't ya know? You are a crazy coot in their eyes, old man.
It might stop a mass shooting somewhere. It's for the sake of the little children.
I thought GLD, and registered COMEX overlap.
No.
I was just thinking of Bob Pisani's visit to one of GLD's vaults a few years ago. And that (GLD owned) bar on TV that belonged to someone else.
I remember that one...
Comex gold is going to places where the demand is for physical. Maybe even to the SGE. Behind the scenes, there's the scramblingbling. Not on a Comex spreadsheet. A while back, there was an article on ZH with massive disturbings in derivative holdings at JPM and HSBC. Sometin's up. Physical is dissapearing.
Are the number calculated with or without Tungsten?
wake me up when they're slitting each others throat over that last few ounces.
Paper asswipe- 200:1 claims then add in deriviatives to 1000+:1 paper to phyzz ratio.
Only overlooked by CFTC due to National Security Issues.
Margin call bitchez! NO I don't want paper!
Note to self: TAKE DELIVERY.
A surreal situation we are witnessing.
Agree. This is fantastic news. Plan and take action.
Significant topic is will Gold zoom up before the markets crash ?
If markets crash first then short the markets, cash out, and buy precious. done.
Yeah and make sure you get your timing right or you lose everything and then some. You are juggling chainsaws here.
No problem
Congress has already obligated taxpayers to cover the difference
A legacy of wall paper has been left for your great grandkids
Come on man!
I have been stacking for a while now and am a believer in PM's to the point of being a stable store of value and insurance policy. I too am waiting for this house of cards to burn down BUT I too have been reading this COMEX BS for years and have come to the conclusion that you can't call the data and integrity of the COMEX into question on one hand and then get all excited on the other hand when some story or data comes out and seems to validate your position.
I would never soley make a decision regarding my personal finances based on ANY data from ANY futures or commodity market.
It's one thing to lie and say you have more metal than you really do versus publishing data that clearly shows you don't. There are plenty of reasons to do the former, zero reason to do the latter.
-Argenta
Have you seen where either "lie" has made one bit of difference?
No, and that's a good point.
i'm surprised it's only 207-claims-per-ounce; it'll be over-1000 by the end of October.
If it goes over 300 it could get serious, only for the margin calls. Then again, those "players" could just walk over to the FED and get "bailed out", if you know what I mean. I would not be suprised to see it go up over 10000 to 1, it's all rather meaningless. It's fucking fiat money for Christ's sake.
CME Group is in a trap. The more they create naked contracts to keep the paper price depressed exposes them for the fraud which they are.
They must depress Gold Prices in order to CASH SETTLE as they have limited funds.
If they do have to get a bailout from the FED then they are, once again, exposed.
Checkmate, Mr. Christian.
I hope that you are sweating this, Mr. Jeffery Christian. I hope that you are sweating blood you fraudulent fuck.
Bu November the price of Oil will be in the Low Twenties.
The price of Gold will be $1000
The price of Silver will be $10
And the S&P 500 will be at 500.
Of course nobody will be selling any at these prices and the economy will be DEAD!!!
Enjoy your meltdown.
They get that train track started from Poland to Chicago?
this is a farce...
Just wait till crAApl releases the iAwesome...a device that makes everything awesomer even if your body is engulfed with flames.
Oh, only 207 to 1. No wonder the gold price has been crashing lower this morning (1125 to 1101).
Oh, wait. Is that right? Do I have something backwards?
Hahaha. Hahaha.
/sarcasm
PS: Where is our man on the white horse? You know, the guy in the golden armor who demands delivery of a whopper-load of COMEX gold? Hmmm, I guess no armor is thick enough to deflect the nukes the banksters would drop on him for demanding what he is owed.
PS: Any minute now... hi ho silver, down, down and away.
PS: Obviously the predators-that-be want to pick up their last loads of gold and silver before Shemita weekend - last day ever to get physical? Better load up too folks. Too bad for me, I'm pretty much outta fiat to buy with. Boo hoo. :-(
The knight in the white horse could be the retarded mining executives who are either in bed with the JP & Co., or, as I mentioned before, are completely retarded. They could put a stop to this overnight simply by refusing to sell PMs at these manipulated prices, other than what they need to keep the lights on.
But alas, I fear chivalry is dead. No knights to the rescue. All we can do is hunker down and wait. In the meantime, there will be blood.
Frankly, all the miners need be is sane at this state of affairs (these levels of physical stock)! Just hold on to what they produce.
Gold Fever is real, you hold it in your hands long enough you can feel it taking over..
good thing i spent all mine on Politicians, Hookers & Fishing trips
http://albainternazionale.blogspot.it/2015/09/alan-kurdi-psy-op.html
Fake Ayla Kurdi ?
Don't worry, the alien's from mars have a space ship load of gold. They will drop them off to Comex soon. Back to BTFD
Margin hike coming. If Yellen raises rates, margin hike might not even be needed for a short time.
Aaand the gold price goes ... *straight* down, some more. Every day, lower and lower.
You would think if things are about to collapse they wouldn't make it so obvious by hammering Gold almost every fucking week. I don't understand why they don't let it rise , albeit in controlled environment they seem to have expertly managed so far ??? Are they that greedy . Stupid. Made a deal with Asia that $1100 is that big a difference than $1500 in USMonoployD ????
Yep, buying a whole lot of gold, and silver, sure was a great way to "preserve wealth."
Wait for it, wait for it. Noooooo wait for it you fuckin' twat. We're not there yet.
Ok, go back to CNBC and suck your thumb.
Dude: sorry to burst your bubble, but "stacking" is more about insurance, than "preserving wealth". I am guessing about 55-45%. At least for me. Not sure about everyone else. Jungle Jim, you got insurance on your house and car, correct? Or, if you run into my car, am I fucked?
They probably had to pay off the King of Saudi Arabia last week when he met with Obummer...he said he wasn't taking no fricken paper, just fizz.
They can make gold with lasers now but it is classified as a matter of national security.
take a high school chemistry class...in your copious free time...
a class in nuclear physics would be more appropriate:
https://en.wikipedia.org/wiki/Synthesis_of_precious_metals
It can be done. It's just VERY expensive.
That had to be sarcasm. Made me chuckle! I don't think the "down" arrows got that one.
Remember when Gates mentioned "digital mining techniques"?
I wonder what was going through his little brain just then..
It's trying to catch up to VIX as the biggest vapor-contract.
Draw a trend line under the COMEX registered stock and it predicts the last of the gold is gone by December.
However as the price goes down people tend to sell. Which in turn replenishes the vaults....
And the trend for the price of silver and gold is in a down trend.
In my humble opinion they are sideways in the commodities market on credit extension.....we see the same plan played out in 1943 - 1945. And even more recent since that date.
What people tend to sell? Physical or paper?
Momo chasers might sell paper. Physical investors don't sell and insignificant handfuls of people in Asia tend to buy.
You don't sell paper. You can only trade it.
The physical is just as liquid as any other asset. You just need a buyer. Which in the case (a collapsing precious metals market) will be the original sellers.
Keep in mind the MAJORITY of the population like dollars (for now) and not physical gold and silver. Weight beyond other problems keep the majority out of the physical market. However, the dream of wealth overnight keeps them in the physical market. That will eventually fade away.
Oh? So you can't sell your futures position in the Comex? How can you "trade it" if you can't sell it?
"The physical is just as liquid as any other asset. You just need a buyer." [duh]
Which in the case (a collapsing precious metals market) will be the original sellers." [why would it have to be the orignal sellers? Nonsense]
"Weight beyond other problems keep the majority out of the physical market." [Do you count the Indians and Chinese in the minority? -- Gold doesn't weigh that much $100,000 is what 6lbs or so?]
"...the dream of wealth overnight keeps them in the physical market" [for most here it's the dream of having something left when the fiat regime collapses as every one that ever existed has done.]
Just like the American dream.
Bush Jr outlined the plan for Iraq just as he did the financial system. He stated then that Military must remain in Iraq to strengthen the political system and refineries. Obama did just the opposite.
He also warned almost to the day 7 years ago on national T.V. that America was headed towards a bad PERIOD of time. A time we should pay DOWN debt. And what did we do. The public sector alone DOUBLED down on debt and created an even worse agenda. America did just the opposite.
.
Wasn't that big Shemitah/September thing supposed to save us? I'm still waiting.
We will bury you bankster fucks!!!!
My question would be: What does a 207x claims to physical ratio mean to the actual value of gold?
After all, the spot price has this ratio "baked in". I assume a true valuation would not be 207x spot, but it sure as fuck isn't spot, either.
The increase of the ratio is the direct result of the gold smashes. When you sell a years worth of production within five minutes and do it over and over again, things tend to get out of control.
Paper gold trades on contract default risk, not demand. This is a classic bank run where an unregulated banking structure creates more paper gold reciepts than they have gold. This is how banks always used to fail. The COMEX, while enabling a fraud, is also only as trustworthy as its customer that is most likely to default. And all that gold that is supposed to be there is tied up in failed investment schemes, the same as if they had used it to buy Florida swamp land. It is worse than the banks of old. In short, the paper is most likely worthless.
Florida swamp is great. You build an island and nobody bothers you plus you develop a taste for gator steaks.
But it has the wrong kind of "liquidity".
And the mosquitos develop a taste for you.
Does python taste like chicken?
No but the pythons have developed a taste for chicken.
Python eats gator
https://www.youtube.com/watch?v=dVRhRzE_AkQ
crawfish vs. cat:
https://www.youtube.com/watch?v=dZZRe9sKcfw
Oh, thanx you assholes. First I watched crawdad vs cat. Then I just HAD to click on python vs alligator.
Snake vs centipede
Scorpion vs scorpion
yada, yada yada.
(HELP! I'M STUCK IN YOUTUBE AND CAN'T GET OUT)
and me/human eats both, i mean - any source of protein and that includes human flesh if anything else goes extinct.
All of the players are co-opted. There is simply no authentic, policing or regulatory function left. The bankers have full control of the asylum- they have bought everyone including Congressmen who sit on banking "regulatory" committees.
Don't be dismayed by this. It will continue until it can't. The crash that will follow will make 2008 look like the good ol days. All that remains to be seen is when. If left the building long ago.
"In short, the paper is most likely worthless."
I guess we will get to test the FreeGold thesis about this. If the paper comes to be recognized as worthless, then the price will begin to fall and rapidly... But Comex gold is the official "price of gold" as far as the press is concerned, which means that, in theory, we should be able to buy a 10 ounce bar for $50 soon.
It will be interesting to see how far it has to fall before all sales of physical stop. I actually could see (in the west only) a bustling market where those so inclined could rip off widows by offering to pay then "double what your dead husbands gold coins are worth".
since paper GLD is worthless is it any wonder the price fallen that much today?
They've done a pretty good job so far of burying me.
Fractional reserve gold, because no one would ever want to take possession of such a barbaric relic.