The Fact of Bullion Bank Gold and Silver Price Manipulation

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The Fact of Bullion Bank Gold and Silver Price Manipulation

Posted with permission and written by Craig Hemke (CLICK HERE FOR ORIGINAL)



Back in April, the Cartel Shills and Apologists attempted to minimize the news that a settlement had been reached regarding a "nuisance lawsuit" alleging price rigging in gold and silver. As we told you at the time and on many occasions since, this case is instead quite significant and very important. The latest update on the case, released late yesterday, sheds more light upon what we've always known was taking place behind the scenes in the "free and fair precious metals markets".


First, just another reminder of the two key points:


  1. Because of Deutschebank's settlement offer and willingness to turn "state's evidence" in the case, for the very first time a civil lawsuit regarding gold and/or silver price manipulation is being allowed to move forward into the legal discovery phase. This means depositions, affidavits and subpoenas. Never before has a case been allowed into this phase as all previous civil suits were thrown out by Bank-favored judges before discovery could begin.
  2. With Deutschebank now having agreed to nearly $100MM in settlements in the case, there is now the proverbial "blood in the water" for every class action attorney in the world. This current laswuit is just one case and this Deutschebank settlement is just one small part of it. There will now be countless new lawsuits filed, each of them seeking damages from The Bullion Banks for the now-discovered and proven collusion and manipulation of precious metals prices. Potential claimants range from mining companies to shareholders to day traders to investors/stackers.


So, what did we learn today. Here are two from Reuters and the other is a more detailed analysis from ZeroHedge. We strongly urge you to read both.



And here are the amended full filings from the case:

Silver Rigging 1 by zerohedge on Scribd


Silver Rigging 2 by zerohedge on Scribd


From the ZeroHedge article, here are two text exchanges that have been unearthed and submitted only because of the Deutschebank cooperation and legal discovery. There will be many, many more. Of that you can be certain. (click to enlarge)





As an aside, note the date of the exchanges posted above....May and June of 2011. After reviewing this evidence of direct collusion between The Bullion Banks, do you have any remaining doubt as to the origin of the trades in the May Day Massacre of Sunday, May 1, 2011? That sudden $6 drop in silver brought an abrupt end to the Cartel short squeeze that had pushed silver from $38 to $48 in April of that year. What followed were five CME margin hikes in nine days and silver falling to $38 in days and $26 within weeks. Again, after reading the text messages above, you now know precisely how this was accomplished.


Additionally and on a personal level, you now have confirmation of why TFMR exists in the first place. We gained
notoriety in 2010 because we were able to offer precise guidance on price due to recoginition that Cartel traders were colluding to move price, run stops and paint charts. Because we could predict in advance where these traders would act, TFMR rapidly grew and ultimately became what it is today. Though we've since shifted our focus to broader topics, rooting out and exposing The Bullion Bank Cartel remains our focus. Bringing about an end to the manipulation and the Bullion Bank Paper Derivative Pricing Scheme will always be our ultimate goal.


But this is far from over. If we know anything about the legal process it's that it takes time and there are always delays, filings, briefs etc. Therefore, do not expect an abrupt end to the Bullion Bank price manipulation in the next few weeks. Instead, recognize these key takeaways:


  1. The potential monetary liabilities alone will now force many smaller players in bullion banking to exit the sector. Even some of the larger Banks, sensing the declining profits and increasing liabilities will close up shop.
  2. The mining companies and their executives, now finally faced with the truth about their alleged allies The Bullion Banks, will soon begin shifting their hedging and financing activities away from The Billion Banks and the LBMA.
  3. Points number 1 and 2 will lead to an ever-decreasing market share and dominance of fraudulent LBMA and Comex system.
  4. As the Paper Derivative Pricing Scheme loses influence and importance, a shift toward true physical price discovery will move to the forefront.


What does this mean to you?


Since you now know with certainty that the "price" derived through the digital exchange of paper derivatives is
false and manipulated, you MUST use this knowledge to your advantage. Remember, physical gold and silver are priced as if they are abundant when they are not. What IS abundant is the paper dervivative that is used to set the price. As derivative trading fades away, physical trading and pricing will take over. And the price discovered in a truly physical market will most assuredly NOT be $1200 or $17 per ounce.


Have a great day, confident in knowing that you have been proven correct and that you are winning.




Please email with any questions about this article or precious metals HERE





The Fact of Bullion Bank Gold and Silver Price Manipulation

Posted with permission and written by Craig Hemke (CLICK HERE FOR ORIGINAL)

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DarkPurpleHaze's picture

How's this working out?

Let me guess...manipulation was responsible...again.

One day you might actually find the adulation, vindication, validation   noteriety you always reference that you feel you deserve.

“A Timeline For The Next Rally In Gold”

“It’s still possible that gold could trade AS LOW as $1285 and back near its 50-day moving average before bottoming. This area has proven as support all year.”

“Then, finally, a breakout to new 2016 highs in October and November.”
“This year-end rally should take gold all the way back to near the April 2013 manipulated breakdown level of $1525. Let’s call it $1475-$1525.”

“So there you go. That’s what WE expect.
If I’M proven correct, I’LL gladly take all the ADULATION that comes this way. If WE’RE wrong…well, I’m not eating my hat again. That almost killed me last time.”
ZERO CHANCE of $1200 gold?



Latitude25's picture

Last year at this time all the $500 gold trolls came out just like this year and then promptly disappeared when the price shot up in the new year.

DarkPurpleHaze's picture

Even Armstrong has acknowledged the clipping/manipulation that has always taken place. It’s called a “fix” for a reason.

The keywords here are:


pretend analysis=fake analysis.

He’s never denied manipulation and nether has Trader Dan who referred to spreads like Armstrong does.

But you’d never know it by public comments by others that TD and Armstrong ACTUALLY ACKNOWLEDGE manipulation based on their wealth of actual large scale trading experience vs. some guy on a blog with no large scale trading experience that’s trying to rally subscribers and gaslight them awsy fron the factual realituy that TD was 100% correct when he saw gold and silver going bearish until this very day.

Turd would have everyone believe otherwise and that he's always right (or that he'll be proven right fown the road which is a gaslit way of saying he was wrongif it just wasn't for...fill-in-blank) and anyone else who nailed the bearish trend is an apologetic cartel shill etc. despite them being right the last several years.

The charts don't lie...unless you apply whiteout to them to stroke or manage perceptions. 

Also, the difference with Armstrong and TD is that they both don’t use manipulation as a crutch for every down move in the markets or metals no matter what other fundamental reason might’ve occurred on any given day. Only a self-absorbed idiot would try to make you believe that fundemental or technical analysis is worthless.

Did DB and others have an unfair advantage?

Absolutely, and they were caught and found liable and fined and MAYBE they'll be found liable later for civil damages to investors but that's a big maybe and nothing more than kicking a hopium can down the road...again.


“Are the People being Manipulated by Those Claiming Manipulation?”

COMMENT: Marty, the goldbugs are out in force saying that the banks have admitted they manipulated silver. It is interesting how these people lack any understanding of the markets. Just give up. They deserve their own fate.


REPLY: Yes, I know. It is rather pathetic. It demonstrates how ignorant they are about trading and the marketplace. The banks have been clipping people for decades (“manipulation”). The big institutional traders have been slow to realize that you cannot trade with someone who takes the other side of that trade and expect them to do this on an altruistic endeavor. This type of “manipulation” is by no means systemic to justify that they have been so dead wrong in their forecasting for decades.
This “manipulation” has always been present in every market. The dealers know where the stops are, and if they are within striking distance, they “manipulate” the market to execute them. The floor brokers routinely used to tell you where the stops were. Sometimes they were too close and could be taken out so the brokers went for them. Other times they could not reach them. Sure, you can call this “manipulation.”
However, that manipulation does not alter a trend. That is completely different from “manipulating” a bull market into a bear market. But hey, I agree. They deserve what they get.

They act as if the metals are unique and only they have been suppressed. NEGATIVE INTEREST RATES = DEFLATION. The disposable income of the elderly has collapsed. Sorry, where is the inflation coming from except in their dreams. The world is imploding.

I do agree. These people have been wrong and they want to blame everyone else in the world but themselves. They alone are right and the world is wrong.
They do deserve what they get for if they cannot learn the lesson that the FREE MARKET is everything connected, then they will be separated from their money every time. They are the fuel that drives the markets because the MAJORITY must always be wrong. They do not want to admit that, so they lie to themselves and say that the world is wrong and they alone are right. They are ignorant to the fact that we are in a commodity deflationary trend because China turned down and sharply reduced their buying. India put on all kinds of regulation to stop gold purchases. They ignore that as well. So yes, they deserve what they get if they cannot see the light.

Those who immediately claim the goldbugs are correct lack any trading experience whatsoever. Why are they even pretending to comment on the markets when they do not understand how they work? That would be no different than me trying to critique a brain surgeon. Come on. If you have never traded size, you are not qualified to comment. You obviously have never seen how banks move spreads to clip clients ALL THE TIME.
Why do you think many banks are ending their proprietary trading like TD Bank in Canada and Deutsche Bank? All banks who trade on a proprietary basis “manipulate” the market in this way by moving the spreads to clip clients. How do you think they made money? The goldbugs forget the fact that the banks were fined for putting out fake research in 2003 for the DOT.COM bubble. The SEC announced:

The “global settlement” concludes a joint investigation begun in April by regulators into the undue influence of investment banking interestson securities research at brokerage firms. The settlement will bring about balanced reform in the industry and bolster confidence in the integrity of equity research.
http://www.sec.gov_news_digest_12-20-2002 Research Plea

I absolutely know for a fact that some pretend analysts have been paid by the bankers to mislead people into buying so they could take the other side. Plain and simple. But as long as they tell people to “buy” the metals, they walk on water, even when WRONG, and people lose money. So let’s get real here. You are not an “analyst” if you ONLY forecast to buy. Sorry, that is a promoter, not an independent analyst.

If you have never traded size, then you cannot possibly understand how this type of “manipulation” has always existed, and to convert this into proof why the metals are not 30x higher is consumer fraud in my book. Where’s the proof? This is like a guy writing a book on how it “feels” to give birth. If you have not traded size, you cannot understand how this type of “manipulation” does not alter trend; it simply functions with the noise zone of a market (any market, since they do it to them all).

actionjacksonbrownie's picture

Sorry, but the manipulation scheme admitted to is very "old school", and tptb have long since moved on to the newer and more discreet methods of manipulation. Why have humans involved when a simple program can accomplish the task and leave no one to blame but a computer. And if the trading desks of the manipulators all agree to use the same algorithms or the same software, then the periodic take-downs become automatic with no human intervention at all. Simply stated, when certain price/volume parameters are met, then the "dump" signal is triggered and all the criminal trading desks act in unison.

Like one of the instant messengers stated in the exposed collusion - "sometimes it only takes a pebble to start an avalanche".

Therefore, "the beatings WILL continue until morale improves".

Fathead Slim's picture
Fathead Slim (not verified) Dec 10, 2016 10:39 AM

I think they're right here. If physical trades set the market price (instead of vice-versa) then market price will reflect scarcity. The "geniuses" predicting $500 gold are revealed for what they actually are.