HarveyOrgan1

Today, we had a huge withdrawal in inventory at the GLD. of 2.1 tonnes.
On the 22nd the LBMA stated that they will no longer publish GOFO rates.

It looks to me like these rates are now fully manipulated. 

home run

The dollar institution is much larger than the Fed, the Treasury or the entire basket of FOREX that derives relative values of backless currencies.
The silver price is a fulcrum for a mass of derivatives.  The heart of all trading is basic price discovery. Once the bid/ask is out there, few question it.
Whatever happens after that becomes commentary.  This is why something so blatantly obvious as HFT can go on for years. How does the institution come apart?  The repo-generated, freeze.

copper

According to the financial media, the global economy is supposedly rolling over causing a glut of inventories producing a deflation in the prices of many commodities If this is the case… someone should tell that to King of base metals… Copper.
Something doesn’t seem to be making sense in the copper market as the price continues to decline, so are the level of global copper inventories.  You would think the opposite would be the case, but we must remember in the new Financial Paradigm — Paper assets such as Derivatives, Stocks and Bonds are KING, while Gold-Silver and commodities are GARBAGE.
If we look at the chart below, we can see a very interesting trend taking place in global copper inventories.  Not only are we are near record lows, we are down to less than five days worth of copper inventories:

fog

PM Fund Manager Dave Kranzler  stopped by to weigh in on the ebola outbreak. We discuss the possibility of ebola being an October surprise, the reality of the number of deaths vs the reaction of the people along with the reaction from the government.
We then move into a dissuasion of the current housing collapse and how the “massaged” numbers coming from government do not add up. Dave shares his knowledge regarding what is happening behind the scenes and the actual truth of the matter.
We then turn our attention to the gold and silver markets.
Since Dave’s crystal ball is in the shop–permanently–we have to rely on manipulated data and what is happening in the physical market.

yellen

Wealth in the stock market that is “here to stay”, is generated by buying business cycle troughs, not peaks.
While most bank economists and gold community analysts predicted a Fed taper would crush the price of gold, I suggested it would cause gold to rally, and turn the Dow into a wet noodle, and that’s exactly what has transpired.
Here’s what will happen next: 

Pisani gold gld

Another 9 tonnes of gold was removed from the GLD trust yesterday.  This takes the “reported” amount down to 751 tonnes.
The last time the reported amount of gold in the trust was at this level was November 18, 2008.
The price of gold was $738.

asian gold demand

China is still in a holding pattern ready to pounce when needed.
The open interest on silver is  still highly elevated.  Gold has a low OI with a low gold price.  Silver has a high OI with a low silver price.  Something has got to give!!
Let’s head immediately to see the major data points for today…

US gold

Ever since the world suffered a near collapse of its economic and financial system in 2008, investors around the globe have purchased physical gold in increasing volume.  However, if you lived in the United States… the opposite is the case.
Not only did Americans purchase less gold, they ranked DEAD LAST on the planet.

gold standard

Our financial system has suffered an escalating series of crises. Each crisis has grown out of the fix applied to the previous one.
The crisis of 2008 was different.  No matter what the Fed has attempted, they have not been able to create even the temporary appearance of recovery (other than in asset prices).   It’s not merely that growth will be slow, or slower than it should be in some theoretical ideal economic world.

There will be no recovery while our monetary cancer rages, unchecked.
We must rediscover the gold standard, which is the only cure.