GOLD: $1291.20 UP $5.05
Silver: $17.02 FLAT
Closing access prices:
Gold $1292.00
silver: $17.02
Premium of Shanghai 2nd fix/NY:$7.91
LONDON FIRST GOLD FIX: 5:30 am est $1287.60
For comex gold:
TOTAL NOTICES SO FAR: 4581 FOR 458,100 OZ (14.248 TONNES)
For silver:
120,000 OZ/
Total number of notices filed so far this month: 1075 for 5,375,000 oz

This post was published at Harvey Organ Blog on August 21, 2017.

US Workers’ Wage Expectations Unexpectedly Collapse

Cue the latest economic (and Phillips curve) paradox.
On one hand, the US unemployment rate is at a 16 year low of 4.4%, suggesting little if any slack in the US economy, and according to anecdotes from both the Fed’s Beige Book and industry sources, labor shortages are so acute that – if one believes the recently discussed report from the NAHB – up to 75% of builders are unable to find construction workers.
On the other hand, according to a new Federal Reserve survey published on Monday for the first time, U. S. workers and job-seekers are so disenchanted with the labor situation, and harbor so little hope for higher paychecks, that even as they increasingly search for new jobs, they not only expect fewer job offers but anticipate increasingly lower paychecks.

This post was published at Zero Hedge on Aug 21, 2017.

US Gross National Debt to Spike by $800 Billion in October?

The other option: too ugly to even imagine.
‘There is zero chance, no chance we won’t raise the debt ceiling,’ swore Senate Majority Leader Mitch McConnell (R., Ky.) at an event in Louisville, Kentucky, on Monday.
He who couldn’t get his Republican ducks all lined up in a row to get any major legislation passed this year was confident that the Senate would pass a bill that would raise the debt ceiling so that the government could continue to pay for things that Congress told the Government to pay for, and so that the government could service its debts, rather than default on them.
Treasury Secretary Steven Mnuchin was there with him, pleading once again for a ‘clean’ debt-ceiling increase, according to the Wall Street Journal. His ‘magic super Treasury powers’ that allow the government to conserve cash to avoid having to issue more debt will expire at the end of September, he said.
‘This is not about spending money,’ he said. ‘This is about paying for what we’ve spent, and we cannot put the credit of the United States on the line.’

This post was published at Wolf Street on Aug 21, 2017.

Lightening-Fast COT Reversal: Now Fairly Bearish For Gold And Silver

That didn’t take long at all. Just a few weeks after the Commitment of Traders (COT) Reports for gold and silver turned positive – setting off a nice rally in both metals’ prices – this indicator has flipped back to strongly negative.
In gold especially, speculators (always wrong at big turning points) have loaded up on long futures contracts while closing out their short positions. The commercials (always right at big turning points) have done the opposite, closing out long positions and going aggressively short.
In the week ended August 15, the gold speculators and commercials got about 10% more long and short, respectively. That’s a big one-week move, and brings the imbalance between good and bad positions to nearly 3-to-1 bearish. The trends in silver, while not as extreme, still point in a bearish direction.

This post was published at DollarCollapse on AUGUST 21, 2017.

Patience Is Still Advised

From our vantage point, the current correction is not the beginning of a major bear market but a necessary and long overdue pullback that likely has further to go. Similarly, given the record number of months without as much as a 3-5% correction, which is quite normal and to be expected, this puts the odds for seasonality to weigh on stocks in the historically weak August-September (particularly September) period at much higher than average.
One reason why we don’t think this is the beginning of a major bear market has to do with the fundamental backdrop where, as we noted recenly on our Global Macro Outlook with Callum Thomas, a wide range of leading economic data still align with a positive outlook.

This post was published at FinancialSense on 08/21/2017.

SWOT Analysis: Comparing Bitcoin to Gold

The best performing precious metal for the week was palladium with a 3.42 percent gain. Citi forecasts a continued drop in diesel market share in Europe, while Russia’s largest palladium producer boasted of strong auto demand. Gold traders and analysts surveyed by Bloomberg are bullish for a ninth week, the longest run since March. Gold climbed higher this week after the dollar weakened following Federal Reserve minutes that showed lingering concerns over low inflation, reports Bloomberg. Worries over U. S. economic policy also pushed the yellow metal higher, after the nation’s top CEOs’ rupture with President Trump. Investors put $870 million into SPDR Gold in the second quarter, reports Bloomberg, bringing the fund’s assets to $34 billion. ‘Prospective risks are now rising and do not appear appropriately priced in,’ Bridgewater’s Ray Dalio said in a LinkedIn post. Dalio recommends that investors allocate 5 to 10 percent of their assets in gold, the article continues. Bond funds added $3.5 billion in a twenty-second week of inflows in the last week, reports Bloomberg, while precious metal portfolios attracted $500 million of new money. On the flipside, equity funds posted their biggest outflow in 10 weeks. One potential market moving event next week will be the Fed’s summit on August 24-26 in Jackson Hole.

This post was published at GoldSeek on 21 August 2017.

Will The Deteriorating Economy Be Blamed On The Eclipse, Seems That Way – Episode 1360a

The following video was published by X22Report on Aug 21, 2017
The corporate media is reporting that the solar eclipse will cost the retail industry millions of dollars. NAFTA negotiations are wrapping up and Canada and Mexico really don’t have a leg to stand on. People in Hong Kong start withdrawing funds when they learn facial recognition system is installed on ATM’s. US law makers draft bill to protect cryptocurrencies.

Bannon’s Revenge: Breitbart Threatens To “Rally Votes For Impeachment” If Trump Moves Left

Last Friday Bannon boldly declared: “I’m leaving the White House and going to war for Trump against his opponents… on Capitol Hill, in the media, and in corporate America.”
But, according to a new note from Vanity Fair, that “war” could end up ensnaring the President himself should he decide to succumb to what Bannon views as intense internal White House pressure, from the likes of Jared Kushner, Ivanka and Gary Cohn, among others, to move to the Left on key policy issues.
Quoting editor Matt Boyle, Vanity Fair reports that Breitbart views itself as the key reason that the Russia scandal hasn’t gained traction on the right but that they are “prepared to help Paul Ryan rally votes for impeachment” should future Trump policies deviate too far to the Left.
‘We’re in a loud bar celebrating the return of our captain!’ Breitbart’s Washington editor Matt Boyle told me on Friday night. Breitbart’s defense of Trump has so far helped keep the Russia scandal from gaining traction on the right. But that could swiftly change if Trump, under the influence of Kushner and Cohn, deviates too far from the positions he ran on. If that happens, said one high-level Breitbart staffer, ‘We’re prepared to help Paul Ryan rally votes for impeachment.’

This post was published at Zero Hedge on Aug 21, 2017.

Gold Market Morning: August-21-2017: Gold and silver building strength below $1,300 as currencies calm!

Gold Today – New York closed Friday at $1,291.60. London opened at $1,285.00 today.
Overall the dollar was slightly stronger against global currencies, early today. Before London’s opening:
– The $: was slightly stronger at $1.1740 after the Friday’s$1.1750: 1.
– The Dollar index was slightly stronger at 93.51 after Friday’s93.47.
– The Yen was slightly stronger at 109.03 after Friday’s 109.05:$1.
– The Yuan was stronger at 6.6717 after Friday’s 6.6769: $1.
– The Pound Sterling was weaker at $1.2875 after Friday’s $1.2896: 1
Yuan Gold Fix
New York closed $4.00 higher than Shanghai’s close Friday. Then today sees Shanghai moving $0.50 higher than New York’s close before London opened nearly a $6.00 lower than Shanghai, as before trying to move up to Shanghai’s prices.
With Shanghai leading the way today, we see gold prices persistently attacking the $1,300 overhead resistance this week. Please note that the way the gold price keeps rising in Shanghai is quietly steady with no spiking activities. The U. S. is more volatile, but comes into line with Shanghai. London always tries to lower the gold price from the trading level seen in Shanghai, but does not resist the overall rise in Shanghai’s price. So long as this pattern is followed we will see an insistent rising pattern until we move through 280 Yuan. This equates, at current exchange rates to $1,300.
Silver Today – Silver closed at $17.00 Friday after $17.05 at New York’s close Wednesday.

This post was published at GoldSeek on 21 August 2017.

This Silver Price Prediction Shows 3 New Bullish Targets in 2017

Two weeks ago, the price of silver rallied to one-month highs above the $17 level, as U. S. President Donald Trump and North Korean leader Kim Jong Un exchanged direct threats. Trump notably said the small Asian country would be met with ‘fire and fury,’ which pushed Kim Jong Un to threaten Guam with missile strikes.
But silver prices saw a modest decline last week despite a 1.4% bounce after the divisive Fed minutes on Wednesday, which indicated half of Fed officials are dovish while the other half are hawkish. The metal ultimately saw a weekly drop of 0.4% from Friday, Aug. 11, to Friday, Aug. 18.
Oh and wait, there’s the debt ceiling as well. The federal U. S. debt now sits at more than $19 trillion – more than the total 2015 GDP of $17.9 trillion – and that’s without accounting for unfunded liabilities like Medicare and Social Security.
Congress has until late September to get a deal done. The debt ceiling has been raised 78 separate times since 1960. But as we’ve seen over the last seven months, this is no typical administration, and if the debt ceiling isn’t raised on time, a ‘technical default’ could tank markets and boost flight-to-safety investments like silver.

This post was published at Wall Street Examiner on August 21, 2017.

Blankfein Trolls Trump, Compares Him To A Solar Eclipse

Today's decision is a setback for the environment and for the U. S.'s leadership position in the world. #ParisAgreement
— Lloyd Blankfein (@lloydblankfein) June 1, 2017

Back on June 1, in his first ever tweet (after being a silent member of Twitter since 2011), Goldman CEO Lloyd Blankfein slammed Trump’s decision to pull the United States out of the Paris climate change agreement, which he called ‘a setback for the environment and for the U. S.’s leadership position in the world.’

This post was published at Zero Hedge on Aug 21, 2017.

10 Inconvenient Truths About Investing & The Markets

This morning, as I was catching up on my reading, I stumbled onto this gem from Business Insider of an interview with the founder of Robinhood, a mobile app to let individuals trade stocks with no commissions.
‘It’s [Robinhood Gold] serving a need that we saw in a part of our core user base, which includes people using Robinhood for the first time as well as those who have been with us since the beginning. A really large percentage of those users have become more mature investors. The No. 1 thing they kept asking for was the ability to use a margin feature.’
With margin debt levels at already record high levels, the demand by individuals to leverage themselves into the financial markets has always, without exception, ended extremely poorly. Since the vast majority of users of the Robinhood app have never seen a bear market, the real lessons of trading have yet to be learned.
It also brings me to today’s post.

This post was published at Zero Hedge on Aug 21, 2017.

South African Krugerrand Celebrates Golden Anniversary, Demand Surges

The South African gold Krugerrand turned 50 this year, and with higher demand for physical gold, analysts expect sales levels not seen since the 1980s.
Rand Refinery marketing executive head Richard Collocott spoke to reporters at the facility last week to celebrate the Krugerrand’s golden anniversary.
Increased demand for gold has supported sales of the gold bullion Krugerrands and this year is predicted to yield the highest sales since the 1980s, with an expected 15% to 20% increase on the 1.1-million ounces of the coins sold in 2016.’

This post was published at Schiffgold on AUGUST 21, 2017.

Are Markets Sleepwalking Into A Debt Ceiling Crisis: Mnuchin Issues Another Warning

Over the weekend, Morgan Stanley reminded its clients that perhaps the biggest threat facing markets over the coming weeks is the ‘three-headed policy monster’ inside Washington: raising the debt ceiling, passing a budget and embarking on tax reform. As MS cross-asset strategist Andrew Sheets noted, “none are easy, but we see the debt ceiling as the most immediate test.”
He then cautioned that while the most likely outcome is that, after some tension, the debt ceiling gets raised “we don’t think it will be easy, or smooth, and it may require some form of market pressure to get different sides to fall in line. I’ve spoken to investors who are comforted by FOMC transcripts from 2011 that discussed prioritization of debt payments in order to avoid default. I am not. First, I worry that this reduces the urgency of what remains a serious issue. Second, this prioritization would require delaying payments to programmes like Social Security and Medicare, with real human and economic cost. And third, while the mechanics of this prioritisation may work, it is untested in a live environment.”
Perhaps sensing that the market is getting increasingly concerned about the potential standoff over the debt ceiling debate, which could eventually lead to a technical default, moments ago Treasury Secretary Steven Mnuchin, speaking at an event in Louisville, said that “we need to raise the debt limit and it’s my strong preference is that there’s a clean raise of the debt limit.”

This post was published at Zero Hedge on Aug 21, 2017.

Asian Metals Market Update: August-21-2017

Factors which can affect markets
There is not much US economic data this week. It will be a technical trade. A higher close today and tomorrow will ensure that gold has a smooth break of $1300. I am more concerned on silver as it either rises and breaks and trades over $1740 or crashes to $1610 and $1548. Korean Risk ups and downs will be the key.
The UK and USA both want to increase the number of migrants. These nations believe that migrants will bring innovation with them which in turn will lead to higher growth.

This post was published at GoldSeek on 21 August 2017.

Stock & Bond Markets in Denial about QE Unwind, but Banks, Treasury Dept Get Antsy

‘Let markets clear.’ It’ll be just ‘a financial engineering shock.’
Stock and bond markets are in denial about the effects of the Fed’s forthcoming QE unwind, whose kick-off is getting closer by the day, according to the minutes of the Fed’s July meeting.
‘Several participants’ were fretting how financial conditions had eased since the rate hikes began in earnest last December, instead of tightening. ‘Further increases in equity prices, together with continued low longer-term interest rates, had led to an easing of financial conditions,’ they said. So something needs to be done about it.
And ‘several participants were prepared to announce a starting date for the program at the current meeting’ – so the meeting in July – ‘most preferred to defer that decision until an upcoming meeting.’ So the September meeting. And markets are now expecting the QE unwind to be announced in September.

This post was published at Wolf Street on Aug 21, 2017.