A2A with Chris Powell of GATA

Chris Powell and Bill Murphy formed the Gold Anti-Trust Action Committee in 1998 and they’ve been stalwart allies in the fight against gold price suppression and manipulation ever since. What a pleasure it was today to get caught up with Chris and get his thoughts on the current state of the global market for gold.
As you listen, you’ll quickly be reminded that Chris is still one of the most informed and well-spoken advocates for our cause. Over the course of this webinar, he addresses a number of current issues including:
the most important lesson he’s learned in the 20 years he’s followed the gold market the strange occurrence of SecTreas Mnuchin visiting Ft Knox and the equally strange television interview of Terry Duffy, the CEO of the CME Group whether the US government would financially benefit from revaluing the price of gold how physical demand will paly a role in finally ending the tyranny of the central banks and bullion banks and much, much more!

This post was published at TF Metals Report on Thursday, August 31, 2017.

The weakest boom ever

[This post is a slightly-modified excerpt from a recent TSI commentary] The US economic boom that followed the bust of 2007-2009 is still in progress. It has been longer than average, but at the same time it has been unusually weak. The weakness is even obvious in the government’s own heavily-manipulated and positively-skewed data. For example, the following chart shows that during the current boom* the year-over-year growth rate of real GDP peaked at only 3.3% and has averaged only about 2.0%. Why has the latest boom been so weak and what does this say about the severity of the coming bust?
Before attempting to answer the above question it’s important to explain what is meant by the terms ‘boom’ and ‘bust’.
An economy doesn’t naturally oscillate between boom and bust. The oscillations are related to fractional reserve banking and these days are driven primarily by central banks. When I use the term ‘boom’ in relation to an economy I am therefore not referring to a period of strong and sustainable economic progress, I am referring to a period during which monetary inflation and interest-rate suppression bring about an unsustainable surge in economic activity.
Booms are always followed by and effectively give birth to busts, with each bust wiping out a good portion (sometimes 100%) of the gain achieved during the preceding boom. Putting it another way, once a boom has been set in motion by the central bank a bust becomes an inevitable consequence. The only unknowns are the timing of the bust and how much of the boom-time gain will be erased.

This post was published at GoldSeek on Monday, 21 August 2017.

GoldSeek Weekly Radio: Gerald Celente and Bill Murphy

Bill Murphy of GATA.org returns with key insights on the PMs market. The world’s largest gold producing / consuming nation, China just announced a 10% decrease in production and a 10% increase in consumption. Our guest suggests a gold price target of $3,000-$5,000 to compensate for underlying real inflation levels. Bill Murphy sees signs that indicate price suppression schemes are failing – the PMs could begin the next leg of an epic ascent. Key takeaway: the cartel is losing control, it may be merely a matter of time before the physical gold market overcomes the paper gold schemes as early as Fall of 2017.

This post was published at GoldSeek on 13 August 2017.

Ray Dalio: With Two Potential Crises, Buy Gold In Case “Things Go Badly”

It’s been a while, years in fact, but suddenly it’s gold’s time to shine again.
The yellow metal – insurance against systemic collapse, hyperinflation and infinite political stupidity – which in recent years has seen its popularity fade as the younger generation has gravitated toward the far faster moving crypto currencies – is once again back in the spotlight.
As UBS’ strategist Joni Teves, who has been recommending the precious metal for a long time despite the BOJ’s relentless suppression, writes “gold bounces from recent lows in line with other safe havens amid risk-off sentiment across markets following geopolitical headlines over the past 24 hours.” Below are the key considerations from today’s UBS note:
Key technical levels come into focus for gold, triggering some decent market activity in the middle of this typically quieter summer period.

This post was published at Zero Hedge on Aug 10, 2017.

Russian academic and political leaders listen to Hugo Salinas Price about silver

Accepting an academic honor last week at a ceremony at the Russian embassy in Mexico City, Hugo Salinas Price, president of the Mexican Civic Association for Silver, argued that Mexico’s central bank should purchase a portion of the country’s silver production for monetary reserves just as China is buying the whole of that country’s gold production. Salinas Price discloses that he has urged Russia to issue a silver ruble in anticipation of replacement of the U.S. dollar standard with a metallic money standard in the world financial system. Salinas Price also discusses the suppression of gold and silver prices by a cabal of U.S.-led central banks and financial institutions.

This post was published at Plata.com.mx

Take advantage of this free insurance policy for your savings

The “fixes” to the stagnation of postwar Capitalism in the 1970s were financialization, globalism, and the sustained expansion of debt–all have run out of steam.
Many of us have written about cycles in the past decade: Kondratieff economic cycles, business/credit cycles, the Strauss – Howe generational theory (an existential national crisis arises every four generations, as described in their book The Fourth Turning), and long-wave cycles of growth and decline, as described in seminal books such as The Great Wave: Price Revolutions and the Rhythm of History and War and Peace and War: The Rise and Fall of Empires.
There is another Rhythm of American History that few recognize: the economic, social and political crises sparked by exploitive Elites. There are two dynamics that drive these crises:< 1. The exploitation of commoners by financial/political Elites reaches extremes that create systemic instability as commoners no longer have the means to improve their conditions. 2. The economic mode of production that generated Elite wealth no longer functions, but the Elites cling to the failing system and enforce it with increasingly violent suppression of dissent.
Here are the previous Crises of Exploitive Elites:
1. Slavery, 1850 to 1865. Though the toxins generated by slavery are still with us, the existential political, social and economic crisis arose in the years between 1850 and the end of the Civil War in 1865

This post was published at Charles Hugh Smith on SUNDAY, JUNE 18, 2017.

Central Banks Now Own A Third Of The Entire $54 Trillion Global Bond Market

Two weeks ago we asked a question: maybe behind all the rhetoric and constant (ab)use of sophisticated terms like “gamma”, “vega”, CTAs, risk-parity, vol-neutral, central bank vol-suppression, (inverse) VIX ETFs and so forth to explain why despite the surging political uncertainty in recent years, and especially since the US election…
… global equity volatility, both implied and realized, has tumbled to record lows, sliding below levels not even seen before the 2008 financial crisis, there was a far simpler reason for the plunge in vol: trading was slowly grinding to a halt.
That’s what Goldman Sachs found when looking at 13F filings in Q1, when it emerged that the gross portfolio turnover of hedge funds had retreated to a record low of just 28%. In other words, few if any of the “smart money” was actually trading in size.

This post was published at Zero Hedge on Jun 4, 2017.

Is Bitcoin Standing In For Gold?

In a series of articles posted on http://www.paulcraigroberts.org, we have proven to our satisfaction that the prices of gold and silver are manipulated by the bullion banks acting as agents for the Federal Reserve.
The bullion prices are manipulated down in order to protect the value of the US dollar from the extraordinary increase in supply resulting from the Federal Reserve’s quantitative easing (QE) and low interest rate policies.
The Federal Reserve is able to protect the dollar’s exchange value vis-a-via the other reserve currencies – yen, euro, and UK pound – by having those central banks also create money in profusion with QE policies of their own.
The impact of fiat money creation on bullion, however, must be controlled by price suppression. It is possible to suppress the prices of gold and silver, because bullion prices are established not in physical markets but in futures markets in which short-selling does not have to be covered and in which contracts are settled in cash, not in bullion.
Since gold and silver shorts can be naked, future contracts in gold and silver can be printed in profusion, just as the Federal Reserve prints fiat currency in profusion, and dumped into the futures market. In other words, as the bullion futures market is a paper market, it is possible to create enormous quantities of paper gold that can suddenly be dumped in order to drive down prices. Everytime gold starts to move up, enormous quantities of future contracts are suddenly dumped, and the gold price is driven down. The same for silver.

This post was published at Investment Research Dynamics on May 31, 2017.

The Simplest Reason Behind Collapsing Volatility: Hedge Funds Are Barely Trading

“Gamma”, “vega“, CTAs, risk-parity, vol-neutral, central bank vol-suppression, the soaring popularity of (inverse) VIX ETFs , and so on: over the past year there have been countless attempts to explain why despite the surging political uncertainty in recent years, and especially since the US election…

… global equity volatility, both implied and realized, has tumbled to record lows, sliding even below levels not even seen before the 2008 financial crisis.
There may be a much simpler reason.

This post was published at Zero Hedge on May 20, 2017.

At retirement dinner, Eric Sprott praises GATA’s work

Sprott Asset Management founder and philanthropist Eric Sprott, honored last night in Toronto at a retirement testimonial dinner sponsored by the company, praised GATA’s work and called on GATA Chairman Bill Murphy and your secretary/treasurer to stand and be recognized. Some people in the audience of about 200 actually applauded, through the audience consisted mainly of ordinarily respectable people from the Canadian financial industry. Of course they may have just been trying to be polite and to humor Sprott. But some later confessed to following GATA’s work and to have been persuaded by it.
Sprott went on mischievously to contrast what he called “the GATA table,” at which Murphy and your secretary/treasurer were seated with Sprott Asset Management’s John Embry and economist Ian Gordon of Longwave Group, with what he called “the World Gold Council table,” at which two former chairmen of the council were seated: Franco-Nevada founder Pierre Lassonde and Goldcorp Chairman Ian Telfer. Sprott noted that during the dinner no rolls had been thrown from the GATA table toward the World Gold Council table.
Civility and cordiality were maintained though Lassonde repeatedly has dismissed complaints of gold market manipulation and has insisted that central banks couldn’t care less about gold while GATA has dismissed the World Gold Council as an accomplice with central banks in gold price suppression, a facilitator of “paper gold” and the shorting of the monetary metal.

This post was published at GATA

Breslow: Traders Increasingly Have No Idea What’s Going On

Richard Breslow, the former FX trader and fund manager who writes for Bloomberg and frequently graces these pages, in his latest “trader’s note” summarizes the sheer confusion that has gripped a directionless market, in which central banks have killed price discovery and where volatility appears to be an artefact of a long one past. Hardly anything new here, but a good summary of where the “market” finds itself on the day when the first 4x levereaged ETF was released.
His full note below:
Sometimes Prices, Like a Cigar, Are Just Prices
Investors are suffering from the increasing amount of insider trading going on. Not the kind generated from golf course confidences or sifting through corporate dust bins, but from markets that just aren’t capable of trending. Because fewer and fewer market participants are comfortable answering the question, ‘What’s going on?’
A lot of this is from the much-discussed volatility suppression caused by central banks. They got what they wanted and now the negative externalities they failed to appreciate are dangerously affecting accurate price discovery. When we need it most. In their biographies they claim exigent circumstances. History will say they got too enamored with the sway they held over markets and were having too much fun.

This post was published at Zero Hedge on May 3, 2017.

Rent Control Makes for Good Politics and Bad Economics

One needn’t read very much about public policy before coming across some statement to the effect that ‘bad economics makes good politics.’ This statement is clearly untrue when good politics is defined as furthering mutually beneficial arrangements, as good economics is central to that task. But the statement is often true when good politics is defined as attracting 50%-plus-one votes on some issue or candidate, which is a much different standard, leaving plenty of room for government-imposed harms to be imposed on citizens.
Few issues reflect this divergence between ‘good’ politics and bad economics more clearly than rent control. One of the most universally accepted propositions among economists is that rent control produces a host of adverse social consequences with its large involuntary redistribution of wealth and suppression of market prices as communicators of information and incentives. Despite that, it has been adopted as policy in many places and times – and now is a good time to revisit these issues, as efforts are currently underway in several states (including California, Oregon, Washington, and Illinois) to repeal existing statewide restrictions on rent control.
How Rent Control Destroys Value Rent control takes a large portion of the value of residential properties from landlords. It does so by removing owners’ rights to accept offers willingly made by potential renters. And the value of the rights involved are large. For example, after Toronto imposed rent control in 1975, affected building values fell by 40% over five years, and a decade ago, such losses were estimated at $120 million annually in Santa Monica. A law like rent control, which can take half or more of each apartment’s value from the landlord, harms them just as much taking away half of their apartments, even though the latter is recognized as theft. Those stripped property values are given to current tenants, whose resulting bonanzas are shown by the fact that those under strict rent control almost never leave.

This post was published at Ludwig von Mises Institute on April 10, 2017.

‘Conspiracy’ defines government, and ‘cowardice’ the monetary metals mining industry — Chris Powell

Of course the managers of T.P.’s mining companies are hardly alone. Even the most highly regarded and wealthy managers of companies that mine the monetary metals pretend not to understand this, though one of them, Frank Giustra, indicated in January that he is beginning to suspect that central banks and governments are working against gold prices.
If Giustra, a billionaire and confidant of former President Bill Clinton, ever chose to act on his suspicion, he might change the world.
Then monetary metals mining company investors might urge the managers of their companies to review and try rebutting the extensive documentation of government suppression of monetary metals prices compiled by GATA.
Anyone who reviews those documents will discover that far from being mere “conspiracy theory,” gold price suppression is actually long-established Western government policy, recorded in government archives, both public and secret.
That is, there is no “theory” here, only historical fact.
But as hopeless as the monetary metals mining industry seems, there are reasons for its cowardice.

This post was published at GATA

Love of technical analysis blinds fund manager to evidence of market manipulation — Chris Powell

Keith Weiner of gold fund management company Monetary Metals in Scottsdale, Arizona, is scoffing again at complaints of market manipulation, this time involving the silver market particularly.
In his commentary Sunday, “Why Did Silver Fall?” — Weiner writes: “With no need of evidence — indeed, with no evidence — one can assert this” — that is, market manipulation — “and not be questioned in the gold and silver communities. We have recently come across a term normally used to describe leftists and social justice warriors, ‘virtue signaling.’ One piously declares that one supports the cause, one speaks truth to power, one sticks it to The Man — well, you get the idea. The concept of ‘virtue signaling’ seems equally appropriate to those who sing the chorus on every price drop, ‘manipulation.’”
GATA may be glad if Weiner finds the gold and silver communities overwhelmingly convinced of its years of work, though of course this convincing does not yet seem to have succeeded with gold and silver mining companies themselves. But we can’t be glad that Weiner himself maintains that there is no evidence of this market manipulation — that, to the contrary, he believes, as other technical analysts do, that gold and silver prices are the products of his technical analysis and mathematical formulas.
Documentation of the longstanding Western government policy of gold price suppression, much of it culled from both public and secret government archives, has been compiled by GATA — and Weiner is welcome to rebut even one item, though he writes as if he has never heard even of Deutsche Bank’s recent confession to gold and silver market manipulation and the bank’s incrimination of other investment banks.

This post was published at GATA

Erdogan Gives Germany A Public Slap Across The Face

Via Dmitriy Sedov of The Strategic Culture Foundation,
The things European politicians have had to listen to from Recep Tayyip Erdo?an! Over the 14 years of his administration, this charismatic Turkish leader has managed to tally up a long list of the sins committed by the European Union and has often promised to make the EU pay a price for each of them.
European politicians have not yet recovered from the spiritual traumas he inflicted on them with his insults last year. Erdo?an had a very blunt reaction to their condemnation of his harsh suppression of last year’s coup attempt in Ankara. And the Germans got their comeuppance for the resolution passed by their Bundestag recognizing the Armenian genocide from the early 20th century.
And then a new bomb went off. Now the Turkish president has overreached himself, and the Germans were once again the first to fall into his cross-hairs. Germany’s leaders have been accused of acting like Nazis!
Last Sunday Recep Erdo?an assembled thousands of people at a rally in Istanbul, where he told them, I’m going to get the whole world stirred up! Germany, you’re nothing like a democracy, and you should know that what you’re doing now is no different from the Nazi practices of the past. You lecture us about democracy, but then you won’t let our ministers speak there. We will discuss Germany’s actions in an international forum and we will shame you in the eyes of the whole world. We don’t want to see Nazis in Germany anymore. We thought that was a bygone era, but apparently it isn’t. I’ll go to Germany when I want, and if you don’t let me in, I’ll make the world rise to its feet!

This post was published at Zero Hedge on Mar 10, 2017.

Are Central Banks Losing Control?

Eight years after the crisis of 2008-09, central banks are still injecting $200 billion a month into the global financial system to keep it from imploding.
If you want a central banker to choke on his croissant, read him this quote from socio-historian Immanuel Wallerstein: “Countries (have lost the ability) to control what happens to them in the ongoing life of the modern world-system.” Stated another way, Wallerstein is asking: what do central banks no longer control? The quote is from Wallerstein’s recent meditation on China: China is Confident: How Realistic? “The question is how realistic is this self-assessment of China? There are two premises embedded in China’s self-confidence, whose validity need to be investigated. The first is that countries, or rather the governments of states, can actually control what is happening to them in the world-economy. The second is that countries can effectively contain popular discontent, whether by suppression or by limited concessions to demands. If this was ever even partially true in the modern world-system, these assertions have become very dubious in the structural crisis of the world capitalist system in which we find ourselves today.”

This post was published at Charles Hugh Smith on WEDNESDAY, MARCH 08, 2017.


Russian diplomats seem to be an endangered species, as seven officials have been found dead under mysterious or unexplained circumstances just since Election Day, and – although any link remains as yet unprovable – the deaths certainly provoke a number of questions.
1. Sergei Krivov:
First is the perplexing case of Sergei Krivov – disputably a consular duty commander at the Russian Consulate in Manhattan – died on November 8, Election Day, under perhaps the most problematic circumstances of any of the deaths listed.
Found unconscious and unresponsive on the floor inside the consulate, Krivov suffered blunt force trauma to the head – initially reported as received in a fall from the roof of the building – and passed away before emergency services could reach the scene.
Consular officials quickly backtracked that Krivov died after plunging over the building, instead insisting he’d suffered a heart attack – but the diplomat’s lack of paper trails and ambiguity from officials about his career position make the death appear to be far from ordinary.
‘That position is no ordinary security guard,’ reported BuzzFeed on Krivov’s ambiguous role at the consulate. ‘According to other public Russian-language descriptions of the duty commander position, Krivov would have been in charge of, among other things, ‘prevention of sabotage’ and suppression of ‘attempts of secret intrusion’ into the consulate.’

This post was published at The Daily Sheeple on FEBRUARY 28, 2017.

Will Trump Crash The System on Purpose To Restore Freedom – An interview with Bix Weir

The following video was published by The Dollar Vigilante on Feb 1, 2017
Jeff interviews Bix Wier of Road to Roota, topics include: the good guys are winning! Trump had to make certain unfortunate appointments just to get this far, Trump to free up markets, Trump to increase debt, Trump to pop the bubbles early in his term, tackle the Fed, end gold and silver price suppression, China and Bitcoin, paper trades vastly outnumber physical trades, Bitcoin derivatives, Mexico and silver, silver price determined by the comex and paper markets, silver greatly under valued, when the market turns paper will be dumped, this years TDV Summit in Acapulco, Mexico.

What was the ‘strong-dollar policy’ except gold leasing and price suppression?

GATA long has maintained that the “strong-dollar policy” was mainly gold price suppression, implemented largely through the gold carry trade devised by President Clinton’s treasury secretary, former Goldman Sachs Chairman Robert Rubin, an enterprise in which Western central banks “leased” gold to investment banks at negligible interest rates and encouraged them to sell the metal and invest the proceeds in U.S. government bonds paying closer to 5 percent. The investment banks thereby collected a spread that was risk-free as long as they had the assurance that, as Federal Reserve Chairman Alan Greenspan told Congress in July 1998, “central banks stand ready to lease gold in increasing quantities should the price rise“.
Gold leasing gave the U.S. government a strong dollar, strong government bond prices, and low interest rates even as the government’s debt began to explode under Presidents Bush and Obama. For inflation was safely concealed behind a gold price that was suppressed by artificial and imaginary supply.
So if the U.S. government wants a weaker dollar, it probably needs only to curtail gold leases and swaps and take some central bank feet off the gold market, feet that seem to have been stomping on gold pretty hard lately, given the explosion of gold swapping through the Bank for International Settlements over the last year.
This easing of gold price suppression probably can be done without prompting any suspicion from mainstream Western financial news organizations, which are either brain-dead or as compliant as news organizations in totalitarian countries. Tonight only Marketwatch seems to have come across a hint of what the “strong-dollar policy” was really about. Of the Rubin years at Treasury, Marketwatch writes:
“The Clinton administration’s tune soon changed once Rubin replaced Bentsen. Rubin drove home the shift by faithfully repeating that a strong dollar was in America’s interest. Some well-timed intervention that burned the fingers of dollar bears also helped.”

This post was published at GATA