JUNE 8/4 BILLION DOLLARS WORTH OF PAPER GOLD FLOOD THE COMEX (40.5 TONNES) WHICH CAUSES GOLD AND SILVER TO FALTER/NORTH KOREA FIRES MULTIPLE BALLISTIC MISSILES AS BASICALLY THEY HAVE NOTHING ELSE…

GOLD: $1276.30 down $13.80
Silver: $17.39 down 19 cent(s)
Closing access prices:
Gold $1294.30
silver: $17.68
XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX
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: $1294.64 DOLLARS PER OZ
NY PRICE OF GOLD AT EXACT SAME TIME: $1286.60
PREMIUM FIRST FIX: $6.06
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
SECOND SHANGHAI GOLD FIX: $1294.90
NY GOLD PRICE AT THE EXACT SAME TIME: $1287.90
Premium of Shanghai 2nd fix/NY:$7.00
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
LONDON FIRST GOLD FIX: 5:30 am est $1284.80
NY PRICING AT THE EXACT SAME TIME: $1284.90
LONDON SECOND GOLD FIX 10 AM: $1273.10
NY PRICING AT THE EXACT SAME TIME. $1274.60 ??
For comex gold:
JUNE/
NOTICES FILINGS TODAY FOR APRIL CONTRACT MONTH: 57 NOTICE(S) FOR 5700 OZ.
TOTAL NOTICES SO FAR: 2105 FOR 210,500 OZ (6.5474 TONNES)
For silver:
For silver: JUNE
9 NOTICES FILED TODAY FOR 45,000 OZ/
Total number of notices filed so far this month: 499 for 3,495,000 oz

This post was published at Harvey Organ Blog on June 8, 2017.

“Historic” Chinese Yield Curve Inversion Flashes Recession

A month ago, China 5s10s curve inverted for the first time ever, flashing warning signs of an imminent recession (but technical, liquidity factors were offered as excuses for this shift in the belly of the curve). The curve then double-inverted (with 3s10s inverting) seemingly confirming fundamental fears. And now, China’s yield curve is inverted from 1Y to 10Y for the second time in history.
China’s $1.7 trillion government-bond market is turning curiouser and curiouser…

This post was published at Zero Hedge on Jun 8, 2017.

After Laying off Thousands, Boeing CEO Says Offshoring Work to China & other Countries Won’t ‘Directly Harm’ US Jobs

‘We know as we’re investing there, we’re also creating a competitor.’
Boeing, the largest US exporter by dollar value, faces a tough environment for commercial jetliners. In 2016, net orders dropped 13% from 2015 and 53% from 2014, to just 668 planes, the lowest level since 2010! Through June 6, 2017, Boeing has just 208 net orders.
The company is under pressure to cut costs. So there has been wave after wave of job cuts through voluntary buyouts and involuntary layoffs last year and this year. Its payroll has shriveled by about 30,000 workers over the past five years. At the end of May it was down to 145,000.
So Boeing is moving some work to China and other locations overseas, CEO Dennis Muilenburg explained to the Wall Street Journal in an interview. He has been calling the business climate in the US ‘uncompetitive,’ according to the Journal. Boeing is building some plants overseas. One of them is near Shanghai that will complete aircraft made in the US. Workers will paint the planes and install the interiors, such as seats and other fittings. That’s the first step.

This post was published at Wolf Street by Wolf Richter ‘ Jun 8, 2017.

BMO: “This Is The Beginning Of The End” For Junk Bonds

One month ago, Goldman made an interesting observation: unlike the first big drop in oil prices in 2015/2016 when junk bonds, mostly those of energy companies, dropped alongside oil and in many cases decline with an even higher beta than energy equities, in 2017, the relationship had flipped, and it was HY Energy was resisting lower crude, even as stocks are sliding far more than the recent drop in oil would suggest. This is what Goldman said:
Spot crude prices have declined by over 12% since their peak on April 11, touching levels last seen prior to the OPEC’s decision to cut production in November. The sell-off has been even more pronounced for longer-dated contracts (on a beta-adjusted basis), reflecting increasing concerns over future balances in 2018 and beyond. In the HY market, the Energy sector has again outperformed its beta to crude over the past few weeks, a pattern that is reminiscent of previous oil sell-off episodes in the second half of 2016 and early 2017 (Exhibit 3).
This outperformance also contrasts with the sharp underperformance of Energy equities since the beginning of the year (Exhibit 4).

This post was published at Zero Hedge on Jun 8, 2017.

Banks Best, Utes Bust As Comey-nado Pounds Precious Metal

As the world awaited “Thundering Thursday” and all its potential for panic… this happened in the markets…(NSFW)
Spot the odd one out today in major stock indices!! (Small Caps 2nd biggest day in over 3 months)
The big driver of Russell 2000 today… Financials – best day since the election
S&P Financials outperformed notably (and Utes had their worst day in 3 months)…

This post was published at Zero Hedge on Jun 8, 2017.

The Central Bankers Have Been Using The Last 9 Years To Protect Themselves – Episode 1301a

The following video was published by X22Report on Jun 8, 2017
Greek government is getting ready to freeze pensions to 2022 as a requirement for more debt. Someone dumped 4 billion on notional gold contracts and silver contracts. Consumers are tapped out and the purchases of autos, student loans and using the credit cards is now slowing down. The next asset bubble cracks and it is spreading fast. The bail-in era has arrived, the tests are complete and now the central banks are ready when banks start to fail. The central banks have been purchasing the stocks of companies, they have been propping up the market, and now they can bring down the market very easily.

Slow Emotion Replay

I just got back from New York, and I have to say, it was a bit of an emotional trip. Without getting into too much detail, some of my meetings dredged up old feelings that I’ve been carrying around for the last few days.
First, I want to express annoyance about these feelings. They’re not productive; they don’t help me do my job. They’re a distraction. I wish I didn’t have them.
There are a lot of times in my life where I wish I was just a computer and didn’t have feelings. I’d probably be a much better trader.
And that’s what this piece is about. We’re all human beings, trading and investing, trying to make money, but these things called emotions get in the way.
Now, most trading experts will tell you to get rid of your emotions altogether, to get as close to being a computer as possible.
Let’s be realistic – you can’t get rid of your emotions. The best you can do is to try to use them for your advantage.
Voluble
I am probably more emotional than most people. I have a tendency to get really happy or really angry or really sad (more here). I got a stomach flu a few months ago and spent a day at home on the couch, watching 6 hours of My Cat From Hell reruns (and crying).
I have spent most of the last ten years trying to be as dispassionate as possible – but emotions still sneak out sometimes.
So if I can control my emotions investing, you can, too. One of the first things to work on is your response to making or losing money.

This post was published at Mauldin Economics on JUNE 8, 2017.

“I’m Very Concerned” Elliott’s Singer Says Market Risks Higher Today Than 2008

Paul Singer just became the latest investing luminary to warn that the unprecedented monetary stimulus adopted by the Federal Reserve and other major central banks in Europe and Asia has elevated market risks to their highest levels since before the great financial crisis.
‘I am very concerned about where we are,’ Singer said Wednesday at the Bloomberg Invest New York summit.
‘What we have today is a global financial system that’s just about as leveraged – and in many cases more leveraged – than before 2008, and I don’t think the financial system is more sound.’
‘I don’t think that the fixes that have been put into place have actually created a sound financial system. I don’t believe that confidence is justified in policy makers and central bankers.’
“If and when confidence is lost, it could be lost in a very abrupt fashion causing conceivably a ruckus in bond markets, stock markets and in financial institutions.’

This post was published at Zero Hedge on Jun 8, 2017.

US Treasury 10 Year Term Premia Is Negative And Continues To Decline (Waning Inflation)

The US Treasury yield curve continues to decline as The Fed continues to raise The Fed Funds Target rate DESPITE waning inflation.
Bloomberg – The 10-year Treasury term premium is sliding below zero once again. An underwhelming May jobs report and dimming inflation expectations, combined with President Trump’s struggles to implement his pro-growth agenda, have reduced investors’ concerns over holding long-term debt. Weak labor data has served to slow the normalization of the term premium – a gauge of extra compensation investors demand to own the benchmark maturity instead of rolling over a series of shorter-dated obligations – which had been expected to rise as the Federal Reserve begins to wind down its crisis-era bond holdings. The 10-year term premium has averaged 1.64 percentage points since 1961, according to a Federal Reserve Bank of New York model.

This post was published at Wall Street Examiner on June 8, 2017.

‘Largest Single Arms Deal in US History’ Turns into ‘Fake News’

Shares of US Defense Contractors not amused.
Something funny happened on the way to the bank for investors who were trying to cash in on President Trump’s trip to Saudi Arabia and the $110 billion for US defense contractors that White House Press Secretary Spicer had touted on May 20 as the ‘largest single arms deal in US history.’
The stocks of defense contractors had already soared over the past two years, with Lockheed Martin (LMT), Northrop Grumman (NOC), General Dynamics (GD), and Raytheon (RTN) up between 52% and 72%. But from Friday, May 19, through the end of the month, they got a big extra push of 5% to 6%.
But since then, they lost ground. The magic is gone. What happened?
Friday, May 19, President Trump departed for Saudi Arabia. And it appears a list of the ‘deals’ to be announced that weekend was already being circulated, and folks got busy buying up those stocks even before Trump stepped on the plane that afternoon.
Then on May 20, in Riyadh, a laundry list of deals was announced, including that ‘largest single arms deal in US history.’ The following Monday and over the next days, the shares of defense contractors rose further, powered by visions of $110 billion in deals raining down on them.

This post was published at Wolf Street on Jun 8, 2017.

Rates Continue To Defy “Wall Street Logic”

The ‘Bond Bears’ just can’t seem to catch a break.
Beginning in mid-2013, there have been numerous calls the 30-year bond bull market was dead. The reasoning was simplistic enough – economic growth was set to return pushing inflation, and ultimately interest rates, higher. Unfortunately, as each year has come and gone, economic growth has failed to return with real economic growth averaging just 1.9% since the turn of the century.
As I have discussed many times in the past, interest rates are a function of three primary factors: economic growth, wage growth, and inflation. The relationship can be clearly seen in the chart below.

This post was published at Zero Hedge on Jun 8, 2017.

US Dollar Index, Gold, Silver, & Comey | Golden Rule Radio #22

The following video was published by McAlvany Financial on Jun 8, 2017
This week we recap the recent movement of gold as it breaks through a 6 year trend line and has multiple indicators showing very bullish. We cover silver’s movement as well as Platinum & Palladium. Super Thursday brings with it the James Comey testimony, European Central Bank Meeting, and the British Election, & more which will together have an impact on The Us Dollar Index, The Euro, & The British Pound. Thank you for listening to Golden Rule Radio

Household Net Worth Hits A Record $95 Trillion… There Is Just One Catch

In the Fed’s latest Flow of Funds report, today the Fed released the latest snapshot of the US “household” sector as of March 31, 2017. What it revealed is that with $110.0 trillion in assets and a modest $15.2 trillion in liabilities, the net worth of the average US household rose to a new all time high of $94.835 trillion, up $2.4 trillion as a result of an estimated $500 billion increase in real estate values, but mostly $1.78 trillion increase in various stock-market linked financial assets like corporate equities, mutual and pension funds, as the stock market continued to soar to all time highs .
At the same time, household borrowing rose by only $36 billion from $15.1 trillion to $15.2 trillion, the bulk of which was $9.8 trillion in home mortgages.
The breakdown of the total household balance sheet as of Q2 is shown below

This post was published at Zero Hedge on Jun 8, 2017.

Louisiana Legislature Passes Bill to Repeal State Sales Tax on Precious Metals

Earlier this week, the Louisiana House gave final approval to a bill that would exempt precious metals from state sales and use taxes. This would remove one barrier from buying gold, silver and platinum. It would also help encourage their use and take the first step toward breaking the Federal Reserve’s monopoly on money.
Rep. Stephen Dwight (R) and Rep. Mark Abraham (R) introduced House Bill 396 (HB396) on March 31. The legislation would exempt the sale of platinum, gold, or silver bullion, ingots, or coins that are valued only on their precious metal content from the state sales tax. It would also exempt certain numismatic (collectable) coins.
The House passed HB396 95-0 on May 24. The Senate followed up on June 2 and approved the measure by a vote of 30-2 with some technical amendments. On June 6, the House concurred with the Senate amendments by a vote of 103-0, sending the bill to Gov. John Bel Edward’s desk for his consideration.
IN PRACTICE
Imagine if you asked a grocery clerk to break a $5 bill and he charged you a 35 cent tax. Silly, right? After all, you were only exchanging one form of money for another.

This post was published at Schiffgold on JUNE 8, 2017.

JPMorgan COO Matt Zames Is Leaving The Bank, Takes $48 Million Exit Package

In what is the biggest financial news of the day, with “Triple Threat Thursday” now downgraded to Single, outlook negative, moments ago Bloomberg reported that JPM COO, and former chair of perhaps the most important advisory committee at the US Treasury, the TBAC, or Treasury Borrowing Advisory Committee, Matt Zames who was viewed as a potential successor to CEO Jamie Dimon, is leaving after 13 years at the bank.
‘Matt has worked tirelessly across many disciplines to help make us a better company,’ Dimon, 61, said Thursday in a memo to staff.
Zames, 46, will remain at the New York-based bank to help with the transition. Zames’ TBAC farewell letter can be found here.
Furthermore, as Reuters adds, Zames will effectively be paid over $9 million for a one year “garden leave.”

This post was published at Zero Hedge on Jun 8, 2017.