The Gold Industry is in a Massive State of Dysfunction, Delusion and Denial

In 1980, the Financial Deep State realized that there existed an extraordinary opportunity for serial plunder and profiteering: the manipulation of the gold and silver markets. They immediately mobilized to exploit it.
During the subsequent 37+ years (we are now well into the 38th), the Deep State manipulators have criminally looted the gold and silver markets, pocketing astronomical profits for themselves in the process, all of which have come from real victims on the other sides of their fraudulent trades. While literally billions of people worldwide have been financially damaged by this crime, many of them severely, not one of the perpetrators has spent so much as ten seconds in jail for the global looting spree they have conducted. This is because precious metals price fraud is a state-sponsored crime.
While in this article we will concentrate on gold from here on, the exact dynamics we describe also apply to silver. The only difference between the two is that the price carnage in silver has been far worse than it has been in gold, on a percentage basis.
As a consequence of the unrelenting gold price manipulation, gold has been thrust into two severe bear markets that have lasted for more than 27 of the past 37 years, or more than 72% of the time.

This post was published at GoldSeek on July 11, 2017.

Seattle Passes Measure To “Tax The Rich”; There’s Just One Problem…

After passing a $15 minimum wage intended to help low-income workers in Seattle, economists at the University of Washington produced a rather extensive research report a few weeks ago highlighting how the legislation was actually doing the exact opposite as companies were simply choosing to automate menial tasks, move businesses out of Seattle in search of more attractive wages rates or simply cutting back on employees to offset increased labor costs (we covered the study here: Seattle Min Wage Hikes Crushing The Poor: 6,700 Jobs Lost, Annual Wages Down $1,500 – UofW Study).
Unhappy with their failed experiment, the Seattle City Council decided to pursue a more direct form of income redistribution: a massive income tax on the rich.
As The Seattle Times points out, a measure passed by the Seattle City Council applies a 2.25% tax on total income above $250,000 for individuals and above $500,000 for married couples filing their taxes together. The city estimates the tax would raise about $140’million a year and cost $10’million to $13’million to set up, plus $5’million to $6’million per year to manage and enforce.

This post was published at Zero Hedge on Jul 11, 2017.

Introducing Mr. Ken Berry, CEO, Northern Vertex $NEE.V $NHVCF

It is my pleasure to share a brief interview with Mr. Ken Berry, CEO and Chairman of Northern Vertex Mining Corp. (TSXV:NEE). This was my first chance to talk with Mr. Berry and I was very impressed. Read on to find out about this company that is rapidly advancing down the ‘Golden Runway’.
*Please note, I was compensated to prepare and disseminate this material on behalf of Stockpools and Northern Vertex. This document contains forward-looking statements.
Northern Vertex is a junior miner focused on the ‘reactivation of its 100% owned Moss Mine Gold/Silver Project located in NW Arizona, USA.’ The company has 141.2M shares outstanding, with 38.2M warrants and 8.5M options. Note that 8.7M warrants will expire on July 8th, 2017.
The market cap is approximately C$67M based on current a share price of C$0.48. As of March 31, 2017, the company had C$8.67M in cash although it received an additional $10.8M in the first tranche of an equity investment from Greenstone Resources. The company has drawn US$5M of a US$20M credit facility from Sprott and has a US$9M credit facility from Caterpillar Financial Services Corporation. You can find more at the company’s website:

This post was published at GoldSeek on 11 July 2017.

‘One Thousand Percent’ Proof of Insider Trading

It’s September 2008…
Just 12 days before the great financial quake… the quake that nearly brought down the very walls of Jericho.
225 miles to the south of the epicenter… Treasury Secretary Hank Paulson and Federal Reserve Chairman Ben Bernanke meet secretly with members of Congress.
Very secretly.
‘These meetings were so sensitive,’ says Peter Schweizer, former fellow at Stanford’s Hoover Institution, ‘they would actually confiscate cellphones and BlackBerrys going into those meetings.’
Paulson and Bernanke gushed sweat from their trembling domes… blood pounded in their temples… their brows furrowed with apocalyptic thought.
For they know the earth beneath was about to give way.
And they were warning key congressional leadership that the great financial earthquake could strike within days.
Terror seized the secret chamber… and the congressional kingpins took to panicked flight.

This post was published at Wall Street Examiner by Brian Maher ‘ July 11, 2017.

China’s Ebay Offers Customers Cheap Groceries And Defaulted Loans On Bankrupt Companies

At China’s largest online retailer, TaoBao, customers can now buy literally everything from discounted groceries, apparel and pet food to defaulted loans on their favorite bankrupt steel company or that awesome condo complex in that unoccupied ‘Ghost City’ they’ve always adored.
As an example, you could purchase this lovely snack(?)….

…or this portfolio of 118 non-performing loans from some companies in Yunnan province….

This post was published at Zero Hedge on Jul 11, 2017.

Mark Yusko: “We’re On The Path To Another Great Depression”

Mark Yusko, CIO of Morgan Creek Capital Management, is unafraid to say it how it is. Recall in May, his keynote address warned:
‘I’m telling you right now, the US is going to have a crash and it will be massive,’ noting that that efforts to generate growth through fiscal stimulus and tax cuts will prove futile because the working-age population in the US is declining. As such, consumption – which makes up 70% of the US – will continue to fall.
Adding that ‘every time a President leaves the White House after two terms, there is a recession within the first year of the new administration. I believe this time will be no different.’

This post was published at Zero Hedge on Jul 11, 2017.

JULY 11/TRUMP JR’S EMAIL SPARKS GOLD RECOVERY AS WELL AS SILVER/AGAIN MASSIVE VOLUME IN SILVER AT THE COMEX/HUGE MOVEMENT OF GOLD OUT OF COMEX WHILE HUGE MOVEMENTS INTO THE SILVER COMEX/RUSSIA EX…

GOLD: $1215.60 UP $1.50
Silver: $15.78 UP 7 cent(s)
Closing access prices:
Gold $1217.50
silver: $15.87
SHANGHAI GOLD FIX: FIRST FIX 10 15 PM EST (2:15 SHANGHAI LOCAL TIME)
SECOND FIX: 2:15 AM EST (6:15 SHANGHAI LOCAL TIME)
SHANGHAI FIRST GOLD FIX: $1221.84 DOLLARS PER OZ
NY PRICE OF GOLD AT EXACT SAME TIME: $1211.70
PREMIUM FIRST FIX: $10.14
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
SECOND SHANGHAI GOLD FIX: $1222.70
NY GOLD PRICE AT THE EXACT SAME TIME: $1212.20
Premium of Shanghai 2nd fix/NY:$10.80
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
LONDON FIRST GOLD FIX: 5:30 am est $1211.90
NY PRICING AT THE EXACT SAME TIME: $1211.35
LONDON SECOND GOLD FIX 10 AM: $1211.05
NY PRICING AT THE EXACT SAME TIME. $1211.30
For comex gold:
JULY/
NOTICES FILINGS TODAY FOR APRIL CONTRACT MONTH: 1 NOTICE(S) FOR 100 OZ.
TOTAL NOTICES SO FAR: 63 FOR 6300 OZ (.1959 TONNES)
For silver:
JULY
289 NOTICES FILED TODAY FOR
1,445,000 OZ/
Total number of notices filed so far this month: 2612 for 13,060,000 oz
XXXXXXXXXXXXXXXXXXXXXXXXXXXXXX
end
Let us have a look at the data for today
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In silver, the total open interest ROSE BY ONLY 6 contract(s) UP to 207,952 DESPITE THE NICE RISE IN PRICE THAT SILVER TOOK WITH YESTERDAY’S TRADING (UP 28 CENT(S). WE AGAIN MOST HAVE HAD CONTINUAL NEW SPECS GOING SHORT WITH THE COMMERCIALS BOTH COVERING AND ALSO GOING LONG. THE NET EFFECT A TINY GAIN IN OI.
In ounces, the OI is still represented by just OVER 1 BILLION oz i.e. 1.039 BILLION TO BE EXACT or 149% of annual global silver production (ex Russia & ex China).
FOR THE NEW FRONT MAY MONTH/ THEY FILED: 289 NOTICE(S) FOR 1,445,000 OZ OF SILVER
In gold, the total comex gold ROSE BY 4,372 CONTRACTS WITH THE RISE IN THE PRICE OF GOLD ($3.50 with YESTERDAY’S TRADING). The total gold OI stands at 481,624 contracts.
we had 1 notice(s) filed upon for 100 oz of gold.
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With respect to our two criminal funds, the GLD and the SLV:
GLD:
Strange!! had a huge changes in tonnes of gold at the GLD/a withdrawal of 2.96 tonnes of gold with gold rises today??
Inventory rests tonight: 832.39 tonnes
SLV
Today: STRANGE: AFTER AN EARLY HIT ON SILVER THIS MORNING, WE HAD ANOTHER HUGE RISE IN INVENTORY OF 2.364 MILLION OZ/
INVENTORY RESTS AT 347.026 MILLION OZ
Please note the difference between gold and silver with respect to the GLD and SLV inventory changes

This post was published at Harvey Organ Blog on July 11, 2017.

“Reverse Schizophrenic” JOLTS Report: Job Openings Plunge As Hiring Soars

When we discussed last month’s JOLTS report – Janet Yellen’s favorite labor market indicator – we used one word to describe it: “schizophrenic“, because while the BLS reported that job openings in April soared to the highest on record, hiring crashed, confounding not only economists, but also the supervisors of BLS goalseekers who “came up” with the number. Fast forward to today, when moments ago the latest JOLTS report summarized, with its usual 2 month lag, the labor situation in the US. And, once again, we have one term to describe it, or rather two: “reverse schizophrenic”, because it was the inverse of everything that was an outlier in last month’s report: as job openings crashed by 301K from a downward revised 5.967MM (the original number was 6.044MM) to 5.666MM, far below the expected 5.950MM, and indicative of a job openings rate of 3.7% vs 3.9% last month…

…hiring exploded by 429,000 to 5.472MM, the second highest monthly print on record, following the lowest total hires number since April 2016.

This post was published at Zero Hedge on Jul 11, 2017.

The Economic Reset Has Been Planned & The Bankers Want To Control It – Episode 1329a

The following video was published by X22Report on Jul 11, 2017
Wholesale sales tumble for the 3rd straight month in a row while inventories are building up. We have never seen QE until 2008 and we do not know what an unwind will look like or the discontinuation of QE, which could lead to a disaster. Rising interest rates will make the debt completely unsustainable. The central bankers knew the fiat system would only last a certain period of time, they have been planning this from the beginning just like they planned to come off the gold standard in 1971. Their main objective is to keep control of the system once the reset occurs.

It Doesn’t Pay to be a Pessimist

“A bad meme – a contagious idea – began spreading through the United States in the 1980s: America is in decline, the world is going to hell, and our children’s lives will be worse than our own. The particulars are now familiar: Good jobs are disappearing, working people are falling into poverty, the underclass is swelling, crime is out of control. The post-Cold War world is fragmenting, and conflicts are erupting all over the planet. The environment is imploding – with global warming and ozone depletion, we’ll all either die of cancer or live in Waterworld. As for our kids, the collapsing educational system is producing either gun-toting gangsters or burger-flipping dopes who can’t read.’ – Peter Schwarz and Peter Leyden, Wired Magazine (1997)
Sound familiar?
For many of us, myself included, the desire to become a sophisticated and successful investor quickly leads into the world of economics and geopolitics. As we learn more about the world around us, it becomes evident just how many dangers lurk around each corner, threatening to shock the global economy and extinguish massive amounts of wealth.
In some cases, the nave investor who doesn’t pay attention to any of this is actually better off than those of us who do. That’s because the more you learn about the precarious state of global economies, the more reluctant you become to invest.
Need a few examples?

This post was published at FinancialSense on 07/11/2017.

Another Day, Another V-Shaped Panic-Buying Spree in Crude Oil

Suuposedly catalyzed this time by EIA forecast production cuts, WTI crude has spiked off an early tumble for the 3rd day in a row, running stops above $45. It appears the algos missed the fact that EIA also cut its price forecasts for the next two years, cut demand growth estimates, and confirmed OPEC production is higher than expected…
The trigger – apparently:
*EIA LEAVES 2017 U. S. CRUDE OUTPUT ESTIMATE UNCH AT 9.33M B/D *EIA CUTS 2018 U. S. CRUDE OUTPUT ESTIMATE TO 9.9M B/D FROM 10.01

This post was published at Zero Hedge on Jul 11, 2017.

“The Tide Is Going Out” – JPMorgan’s Dimon Warns QE Unwind Could Be Far Worse Than Fed Hopes

Janet Yellen confidently stated at the last FOMC press conference that The Fed will start unwinding its massive balance sheet “relatively soon” and Patrick Harker, the Philadelphia Fed president, has said the process will be so dull that it is equivalent to watching paint dry.
Not everyone agrees…
Louis Crandall, an economist at Wrightson Icap, said at the time:

This post was published at Zero Hedge on Jul 11, 2017.

Deutsche: “Once The Carnage From Higher Rates Hits, Then We Move To Helicopter Money”

As Jim Reid writes, “it’s been a very dull 24 hours” in the markets, so to pass the time the Deutsche strategist recapped his bigger picture thoughts “on government bond yields given the sell-off of the last two weeks.” Hardly surprising, he goes along with the consesus, and expects yields to rise as more central banks turn hawkish (for reasons we have discussed on countless occasions, most recently yesterday) although what is interesting is Reid’s take on what happens after the initial reaction, and it’s here that the gloom descends because in a world with 327% debt/GDP…

… higher interest rates are simply unsustainable, the endgame is one: “at some point a government spends big and yields start to rise faster. This could still be many quarters ahead but if and when it does happen central banks might have to intervene and cap nominal yields to avoid carnage in a heavily indebted world. Then we move towards helicopter money…
For now goldilocks remains, at least until one or more risk-parity fund gets whacked, and the momentum-chasing, vol-selling deleveraging begins.

This post was published at Zero Hedge on Jul 11, 2017.

No Luck China, Either

Former IMF chief economist Ken Rogoff warned today on CNBC that he was concerned about China. Specifically, he worried that country might ‘export a recession’ to the rest of Asia if not the rest of the world. I’m not sure if he has been paying attention or not, but the Chinese economy since 2012 has been doing just that to varying degrees often just shy of that level.
If there’s a country in the world which is really going to affect everyone else and which is vulnerable, it’s got to be China today.
The problem is, for Rogoff, a lot of debt which could at some point act as a further anchor as China attempts to restructure its economy from industry to the Chinese consumer and services. Such rebalancing is inherently risky, especially with so much debt supporting it.
Again, I’m not sure Mr. Rogoff has been watching China all that closely. The government may claim that the economy is rebalancing, but so far there is little evidence at all it is actually doing so. Retail sales growth is today a third of the pace that used to be normal when China’s factories serviced the rest of the developed world. Industry is still at the heart of its economy, and most debt has been underwritten not for the coming Chinese consumer economy but instead in anticipation of going back to the rapid growth of its industrial past.

This post was published at Wall Street Examiner on July 10, 2017.

Gold and Silver Market Morning: July 11 2017 – Gold and silver want to confirm the bottom is in!

Gold Today – New York closed yesterday at $1,214.10. London opened at $1,210 today.
Overall the dollar was weaker against global currencies, early today. Before London’s opening:
– The $: was stronger at $1.1396 after yesterday’s $1.1408: 1.
– The Dollar index was weaker at 96.11 after yesterday’s 96.15.
– The Yen was weaker at 114.32 after yesterday’s 114.21:$1.
– The Yuan was stronger at 6.7995 after yesterday’s 6.8034: $1.
– The Pound Sterling was stronger at $1.2902 after yesterday’s $1.2873: 1.
Yuan Gold Fix
Both New York and London turned higher yesterday. New York rose to Shanghai’s level at the close yesterday and London today is pulling the gold price down leaving the differential with Shanghai at just over $9 lower than yesterday’s differential. All global gold markets are looking for a bottom still. But as we mentioned yesterday there is an almost osmotic pressure in London that is shifting physical gold to the Far East constantly, in line with the price differentials between London and Shanghai.

This post was published at GoldSeek on 11 July 2017.

Illinois Now Has a Budget, and a Huge Backlog of Bills to Pay

After going over two years without any kind of fiscal plan, Illinois’ state government now has a budget after the state’s legislature overrode a veto by the state’s governor to impose large tax increases on the incomes of the state’s residents and corporations. Unfortunately, Illinois’ legislature made no effort to address the state’s biggest liabilities.
Must Read State Pension Crisis Leading to High-Tax Exodus
The Quad-City Times has the story:
Illinois finally has a budget plan after two years. Now, to start paying bills.
The Democratic-controlled Legislature’s vote last week to create a $36 billion framework over Republican Gov. Bruce Rauner’s vetoes ended the nation’s longest fiscal stalemate since at least the Great Depression. At the core of the budget was a $5 billion income tax increase.

This post was published at FinancialSense on 07/10/2017.

Asian Metals Market Update: July-11-2017

I am against selling gold, silver, copper and crude oil unless they fall below yesterday’s low. Once again there is not much economic data today. Physical demand in Asia and premiums will be the key to gold and silver prices today. A stronger demand along with firmer premiums will ensure that gold and silver rise today.
The focus of global investors is on crypto currencies. Quick returns and extreme volatility in crypto currencies has resulted in more and more traditional bullion investors and traders switching to bitcoin and other crypto currencies. Metals and energy prices are dictated by fundamentals.

This post was published at GoldSeek on 11 July 2017.

WTI Tumbles Back To $43 Handle After Saudis Breach OPEC Agreement

Having v-shaped recovered yesterday after disappointing Russian comments (on no news whatsoever), crude prices are tumbling once again this mornig, WTI back to $43 handle, after Saudi Arabia told OPEC it pumped 10.07 million barrels a day in June, a person with knowledge of the data said, exceeding its production limit for the first time since brokering a deal to curb global crude supply to counter a glut.

This post was published at Zero Hedge on Jul 11, 2017.