Blythe Masters Jamie DimonJPM wants their gold back before the current fractional reserve bullion banking system breaks, prices skyrocket again and a new global currency regime takes hold.
And now, for the first time ever, they’ve cornered the Comex gold futures market in order to ensure that it happens.

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By Turd Ferguson, TFMetals Report:

To me, the evidence is conclusive. Let’s see if you agree.

In college, I had a physics professor who, every time he demonstrated a mathematical formula, would conclude his work with “QED”. There’s a reason for this and I’ll let wikipedia sum it up for you:

“Q.E.D. is an initialism of the Latin phrase quod erat demonstrandum, originating from the Greek analogous hóper édei deîxai (ὅπερ ἔδει δεῖξαι), meaning “which had to be demonstrated”. The phrase is traditionally placed in its abbreviated form at the end of a mathematical proof or philosophical argument when what was specified in the enunciation — and in the setting-out—has been exactly restated as the conclusion of the demonstration.[1] The abbreviation thus signals the completion of the proof.”

Well, after Wednesday night’s Comex delivery reports, QED is also how I feel regarding the JPM NET LONG position I’ve been harping on for months.

As first noted in the July Bank Participation Report, a “U.S. Bank” is now massive long Comex gold futures. Experience told us that a position of this size…generally around 75,000 contracts…HAD TO BE JPM. However, this experience was just conjecture and we needed demonstrable proof. The first four days of December delivery provide the proof.

If you’ve been following along, I’ve estimated that, in a NET LONG position averaging 75,000 contracts, it was likely that at least half the position was in the front-month Dec13. That position was then rolled into Feb14 and April14 but not without causing some extreme volatility, which JPM used to their selfish price advantage. Additionally, because JPM issued almost 3,000,000 ounces of gold to the other banks through the Comex delivery process of Feb13, Apr13 and June13, it was to be expected that they (JPM House) would use their long position to stand for delivery this month. Not wanting to “break” The Comex…YET…JPM will eventually stand for 7,000-8,000 in December. If the entire system doesn’t collapse first, look for them to stand for the same amount in February and April of next year.

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Given all of that listed in the paragraph above, “proof” of JPM’s NET LONG position will lie in just how much gold they actually take in delivery during December. If the total had turned out to be miniscule…like earlier this year….my entire analysis and conclusion could be justifiably called into question. If, however, JPM ends up stopping 90%+ of the Dec gold contract deliveries…

And what do we have so far? Wednesday alone was breathtaking. There were 2,472 deliveries announced. Of the 2,472, the JPM House account stopped (took delivery) of 2,389 or 96.6%. This brings the total for the first five days of the month to:

Total Deliveries: 3,558

Total Stopped by JPM: 3,400 or 95.6%

Total Issued (thus far) by HSBC: 2,216

Total Issued (thus far) by Scotia: 787

Now consider this. Back in the first half of this year, when JPM was desperately converting a 75,000 NET SHORT position into a 75,000 NET LONG position, it got stuck “holding the bag” and deliveries were made against it by the other banks. For the delivery months of Feb13, Apr13 and June13, it looked like this:

Total Deliveries: 34,571

Total Stopped by HSBC: 13,768

Total Stopped by Scotia (including March and May): 2,257

Total Stopped by Deutsche Bank: 5,918

Total Stopped by Barclays: 3,596

Total Stopped by JPMorgan House: 547

Total ISSUED by JPMorgan (House and Customer): 31,939

Guess what world? THEY WANT THEIR FREAKING GOLD BACK!! And they have cornered The Comex gold market in order to make this happen.

Ultimately, what does this mean to you, my dear Turdite? Let me again put it this way…

JPM is NET LONG something like 65,000-70,000 Comex gold contracts right this minute. (My best estimate based upon yesterday’s Bank Participation Report.) What you have to decide is this: Just whom do you expect to win in the end?

  • The brainless Specs and the non-U.S. banks?
  • The ruthless JPMorgan?

Assuming no changes of position, a drop of $175 from here, toward the vaunted and much-hyped $1050 level, would “cost” JPMorgan about $1.5BILLION. Do you really think that JPM, holding a market-dominating and cornering position, is going to ALLOW that to happen? Seriously?? Well, we’ll see, I guess.

Now some would suggest that JPM’s Comex position is simply a hedge, offset by an equally large net short position held OTC. (As Westley said: “It’s possible, pig”.) But if that’s the case, how do you explain JPM’s sudden desire to take delivery? Again, 95%+ of the December deliveries are being stopped to the JPM House Account. Look, I’m not claiming to be some kind of Comex depository and delivery expert, remember I’m just a guy from Kansas…BUT…if JPM was simply “net neutral” and “non-directional”, why would they take delivery in the first place…AND…why would all of the deliveries be ending up in their own, proprietary account?

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Finally, there is always the possibility (some would same likelihood) that all of this CFTC and CME-generated data upon which I am relying is nothing but lies and fabrications, intentionally falsified in order to deceive. Of course that’s a possibility and, frankly, a somewhat logical deduction given the layers of fraud and deception prevalent throughout not just the metals markets, but seemingly everywhere. However, note the consistency of the data. The NET LONG position was first shown in the BPR of July and it is playing out now, in real time, in December. That’s a long time to manage and maintain a charade.

Instead, I actually believe the data is (mostly) accurate. Look, where else do you see the type of analysis I just gave you? It’s not as if it’s being trumpeted by CNBS. Very, very few people take the time to figure this stuff out and put two-and-two together. And I can promise you, JPM doesn’t give a rat’s ass that you and I know this stuff. By the time everybody else catches on, price will have already moved and everyone will only look back with hindsight. JPM just wants their gold back before the current fractional reserve bullion banking system breaks, prices skyrocket again and a new global currency regime takes hold. And now, for the first time ever, they’ve cornered the Comex gold futures market in order to ensure that it happens.

Q.E.D.

TF

  1. You know i really like Turd, but how many times has this guy been wrong over the last two years. Nobody knows whats going on behind the scene. We just have to wait it out. But it does make for an interesting read i must admit

    • who hasn’t. He’s been very frank the last 6-8 months that anything can happen and he called for a chance at the very washout we’ve seen.
       
      Either way, hoarding gold can’t not pay off at some point and some point soon IMO. Forget the deflation canard. There is no shortage of leased gold out there and once the light of day shines on that, then katie bar the door. YOu don’t need anything other than that. If they are factually stopping those deliveries then what is there to say? Are turd’s FACTS wrong in this case?

      Speaking of which, the facts are as metals rise the physical demand has historically risen for them too, but even if they stay the same, as we’ve seen physical demand do well globally ( despite the bullshit falling out of the faces of more than a few ) then things could get interesting.

    • Indeed, who hasn’t been wrong lately? Jim Sinclair, James Turk … giants in the field, and by no means alone.
      The only thing that really matters, in the end, is the “end” of the paper aristocracy.
      They are going down, kicking and screaming no less, but going down … really, really hard … all the same.
      It’s a sham that’s been in play since the 17th century; there have been many iterations; all have failed abysmally at some point in time; and like all of the previous iterations, this, the Mother Of Them All, will not be any different.
      Gold and silver, now, as then, will always be kryptonite to the world’s dirty, filthy bankers.

    • I wouldn’t count TPTB out, that would be naive. What we are able to observe are simply the visible minions, the cutouts, the expendable chaff who will be pushed onto their swords to take the final fall. They just don’t know it yet. When the realization dawns on them, that look on their faces will be priceless I’m sure. The Hidden Hands that have been managing this game for thousands of years will continue to pull the strings. When you’re orchestrating the end game, I’d say they still hold all of the cards and the advantage. The pyramid maybe shuffling around, but they are positioning themselves for the next pyramid. If we can ride some coattails and put ourselves in a better position, it would be in our interests to do so. You can’t help anyone else if you can help yourself. That said, all the various schemes may not go according to plan. Nature seems to favor those who adapt quickly, so be prepared to move accordingly. I have no doubt the SD community has their i’s dotted and their t’s crossed, popcorn at the ready for any developments. The warnings have been given ad nauseum to those with the ears to listen. It’s really not a mystery…it’s the code. They have to tell you what they’re going to do before they do it. Give you the option to opt out or in as the case maybe, silence equals implied consent..freewill and all that crap. Godspeed to all of you, the only ‘White Hats’ to lead the rest through the darkness are you. 

  2. Yet, everyone in the market has this information, and it does not concern them at all.   If there was even a 1/10 of truth to any of this, the gold price would be over $1600 oz today.
    Hedge funds continue to add to their short positions (in the face of all of this information), despite all of this shorting they still remain NET LONG in gold, not exactly a bullish sign.

    • Z, you seem like a rational guy so i wont lecture you about “everyone” or ” the historical value of Precious Metals or the Global Fiat currency fiasco or even the valid but not entirely provable conclusions the author of the above piece has brought forward. No sir i will not subject those individuals who would rather make up their own minds and be contented with the possibility that TF is correct without your continued negativity on this and any discussion regarding the liklyhood of PMs actually being worth more then they are due to perpetual manipulation to the down side. I absolutely refuse to call you the narrowminded devils advocate that you obviously are for that would engender angst on your behalf. I also will not,cannot, must not remind you of the in your face historical ramifications of the majority of persons, like yourself, throughout recorded history being willfully ignorant or their surroundings, caught unawares, and destroyed for said unawareness that to this day we have coined names to describe such behavior. These include, but are not limited to, ” jerkoff, asswipe , dumb fuck, dick, twit, moron, tool, thick headed shit, etc. etc. I find it reprehensible to stoop to such levels as name calling as a line of defense againt an adversary who is obviously of poor genetic stock as to warrant it. Instead i will graciously accept your premise that there is no manipulation, JPM couldnt possible have cornered the COMEX for imminent financial aggrandizement and most “people” really are geniuses, just not understood, all governments really do care about the people and the Easter Bunny is not a sign of pagan fertility cleverly disguised and adopted by the Roman Catholic Church. I gratiously yield back the balance of my time to someone who may be better at this than i.     

    • Correct me if I’m wrong. On one side you have a SHORT on the other side you have a LONG.
      So if JPM holds the LONG, the Hedge Fund is holding the SHORT.
      And you are saying that if the Hedge Fund is holding the short, this is not a bullish sign. Am I correct?
      I’m not being facetious here. This is the crux of Turd’s argument. 
      Whales aside, JPM rarely lose. They tend to get fined rather than lose, but I digress. I tend to agree with Turd here.
      Although I caveat this with an addition. JPM will no doubt still hold some shorts and I still believe they will still look to push the price down further towards $1000, if they can.
      They want to totally crush spirit and clean up everything. They want it all if they can and they don’t mind burning more free fiat in the process. So if they had to burn another $1.5 billion in the process, that’s just whale blubber.
      KEEP STACKING. 
      JC

    • @Jccjktj
      The short position is now currently being held, predominantly, by HSBC. i belive 4 times the amount short as JPM is long. The only reason that makes sense is that HSBC, working for the Chinese govt intends to keep the price of PMs in check until their acquistion of physical metal is complete to their satisfaction…maybe JPM has been instructed to bring about and immediate rise in PMs both to hurt HSBC and to put the screws to the Chinese in their attempt to purchase GOld at fire sale prices. Im guessing because there is no factual information that is conclusive. All avaiable information must be sifted through, pieced together and debated with no definitive closure untill TPTB want it otherwise eg. new highs in PMs.

    • @JC
       
      “JPM will no doubt still hold some shorts and I still believe they will still look to push the price down further towards $1000, if they can.”
       
      Well, then, let’s wish them good luck with that.  I would very much like to finish my gold stack at $1,000 an oz.  :-D

    • @SILVERTONGUEDEVIL
      Interesting, I was always of the thought the banks work together, but maybe not. I’d be happy for HSBC to dump on the market.
      @Ed_B – It’s a wish as much as nothing :) What do I know!
      I’m expecting a smash on PMs next week. Which means gold will be through $1300 and silver north of $23 :)
      JC

    • @Jccjktj
       
      “It’s a wish as much as nothing  What do I know!”
       
      For sure, Bro.  Heh, what do ANY of us really know?  We read a lot and see a lot of things but we also know that this whole situation is a lot like an iceberg… 10% visible and 90% hidden!  But WTH, we do what we can.  The good news there is that a lot of prepping involves things that we would buy and consume anyway, such as food, water, and clothing.  We just buy more than we need for our immediate use and store it in a closet or basement until it is needed.  At worst, we save some money by buying in bulk and using it over time as prices rise.  If the S does HTF, then we have a lot of what we will need to get through it.  Same for PMs… we buy them and the fiat that we convert is suddenly not susceptible to the ravages of inflation, which is real in spite of what the so-called experts say.  We can always sell it if we need to do that.  
       
      PMs are for saving and fiat is for spending.  I have a good amount of silver stacked.  A lot of it was bought above $26 an oz. but I don’t care.  This is my financial insurance and I would MUCH rather have it than not.  If that costs me some money, so what?  No insurance is free.  Been buying more since the price dropped below $25 an oz.  Also bought a little gold; not much but it is nice to have some.  I have no reason to sell my PMs so see them as long-term holds.  
       
      Over the years, I have watched inflation eat away at the value of people’s savings.  Yeah, it’s a slow process but it is relentless.  Just remember, everyone, inflation is out there.  It’s REAL… and it does a lot of damage to our savings, in spite of the lies from the Fed and the Gov that it is only a small amount.  Inflation = the rate at which the buying power of paper money is destroyed.  Neither the Fed nor the Gov will put it in those terms but that is exactly what it is.  And the Fed says that inflation is “too low”.  What?  They want the buying power of our money destroyed at a faster rate?  Who does that help?  Not us!  It harms us… especially those who live on fixed incomes that do not inflate too.
       
      “I’m expecting a smash on PMs next week. Which means gold will be through $1300 and silver north of $23 “
       
      Well, that could happen, alright.  From what I have read on Internet from various web sites, it seems as if at least 1-2 more price smashes may be orchestrated prior to any Great Reset occurring.  TPTB want to snarf up all of the available PMs that they can before the financial SHTF.  Their best way of doing that is to smash the price lower, panic people into selling what they have at a low price, and then buying up all they can get their hands on.  They have done this numerous times, so it is not anything that we haven’t seen before.  Just remember that they want what we have and they will dangle fake money in front of us in an effort to get us to sell what we have in exchange for the crap that they have printed up out of thin air.  But PMs do not come from thin air.  They come from the Earth and it requires a lot of skill, effort, time, equipment, money, and energy to produce PMs.  This is what gives them REAL value.  
       
      It costs about 4 cents to print a Federal Reserve Note, whether it be a $100, $50, $20, $10, $5, or $1.  WTF kind of system is that?  All I can say is that it is basically an imaginary one.  Real wealth, such as gold and silver, are worth MUCH different amounts as their weights change.  Not so with fiat… all such notes are merely ink on paper, regardless of the denomination printed on them.  Yes, we HAVE to use this crap because it is legal tender but we do NOT have to keep our wealth in it over time.  We can and should trade a good share if it for gold and silver that we can hold outside the corrupt banking system.  If we do not, then we are putting ourselves at the mercy of the banksters and politicians… and they don’t have any mercy insofar as the collection of other people’s wealth is concerned.
       
      Be strong, stay long, and hold on.  PMs WILL have their day at some point.  We may not know when but we do know that the current economic policies in the US are unsustainable and WILL end at some point… and probably sooner rather than later.  Gold, silver, brass, and lead are the 4 PMs that we should all stack.  Chances are real good that we are gonna need all we can get of each of these.
       
      OR… we can not worry about all this, trust that the Fed and Gov really do know what they are doing, that they have our best interests at heart, and that all will be well.  Of course, if we do that, we will begin walking around on all fours, growing wool, and saying BA-AAA!  a lot.  ;-)
       

    • @Ed_B
      I’m in total agreement with you. This following text regarding bail-ins sums up where they are taking things. This just shows how much they have our interests at heart Lol. I’m sure we all know about bail-ins, but I was very interested to see how deep they are looking to take this. Not just your bank account deposits, but the even more concerning ‘Financial Market Infrastructure’. Just read the comment from Paul Tucker. He is effectively talking about EVERYTHING. Client broker accounts (like the MFG theft), custodians and others (mmm I wonder if that includes pooled accounts, allocated accounts of physical gold and silver, I believe so (if there’s any left!!!)) etc etc.
      Physical PMs in your own hands – nothing else will do. NOTHING ELSE.
      You add up everything they are intimating here and PMs will more than see their day. Are we not looking at squeezing the value of every toxic piece of shit into the amount of physical metals that exist? Or complete default? Either way, I’m not inclined to sell at $50oz silver.
      The warning signs are out there.
      JC
      The intent is to “allow authorities to resolve financial institutions in an orderly manner without taxpayer exposure to loss from solvency support, while maintaining continuity of their vital economic functions”. Essentially this means addressing the funding of firms in resolution, as well as recovery and resolution planning.
      The Key Attributes include a number of noteworthy pronouncements on an effective resolution regime such as:• Allocating losses to firm owners (shareholders) and unsecured and uninsured creditors in a manner that respects the hierarchy of claims.• Not relying on public solvency support and not creating an expectation that such support will be available.• Where covered by schemes and arrangements, protecting depositors that are covered by such schemes and arrangements, and ensuring the rapid return of segregated client assets.
      The inclusion of Financial Market Infrastructures means that large parts of the global financial system is susceptible to bail-in and could potentially be bailed-in.
      The scope of this planned bail-in regime for participating countries is not just limited to large domestic banks. In addition to these “systemically significant or critical” financial institutions, the scope also applies to two further categories of institutions, a) Global SIFIs, in other words, cross-border banks which happen to be incorporated domestically in a country that is implementing the bail-in regime, and b) ”Financial Market Infrastructures (FMIs)”, such as clearing houses.
      The inclusion of Financial Market Infrastructures in potential bail-ins is in itself a major departure.
      The FSB defines these market infrastructures to include multilateral securities and derivatives clearing and settlement systems, and a whole host of exchange and transaction systems, such as payment systems, central securities depositories, and trade depositories. This would mean that an unsecured creditor claim to, for example, a clearing house institution, or to a stock exchange, could in theory be affected if such an institution needed to be bailed-in.
      As Paul Tucker phrased it at the IADI conference: “resolution isn’t just about banks, and so we are planning to elaborate on how the Key Attributes should be applied to, for example, central counterparties, insurers, and the client assets held by prime brokers, custodians and others.”
      The inclusion of Financial Market Infrastructures means that large parts of the global financial system is susceptible to bail-in and could potentially be bailed-in
      According to the FSB report, the implementation of the bail-ins should be undertaken by a resolution authority in each country with statutory resolution powers to enforce bail-ins.
      These powers would include powers to:
      • Override rights of shareholders of the firm in resolution.• Transfer or sell assets and liabilities, legal rights and obligations, including deposit liabilities and ownership in shares to a solvent third party.• Carry out bail-in within resolution.• Impose a moratorium with a suspension of payments to unsecured creditors.• Effect the closure and orderly wind down (liquidation) of the whole or part of a failing firm with timely payout or transfer of insured deposits.
      Following on from the release of the FSB Key Attributes report in 2011, it became apparent that national monetary authorities and regulators had been actively working for some time on national bail-in preparedness and their own versions of the Key Attributes.

    • @Jccjktj
       
      “I’m in total agreement with you.”
       
      Then we must be wise men, for we agree with each other!  lol
       
      ” I’m sure we all know about bail-ins, but I was very interested to see how deep they are looking to take this. Not just your bank account deposits, but the even more concerning ‘Financial Market Infrastructure’. Just read the comment from Paul Tucker. He is effectively talking about EVERYTHING.”
       
      Yes, most of us have read about the bail-in business but there is a problem with this.  The problem is that things like this are not real to a lot of people UNTIL IT HAPPENS.  THEN and ONLY then is it real.  While this seems crazy to most of us on here, that’s the way a lot of people see it.  This is why people do nothing to prepare for a hurricane that is coming their way until the last minute and then they mindlessly rush out and clear off the store shelves.  Might we see the same thing happen in PMs once it finally becomes clear that the S is hitting TF?  Probably.  As usual, though, it will be too late by that time and millions of people will have lost a good share of their wealth.  They will NOT be happy and they WILL raise a lot of hell as they express that unhappiness in physical terms.
       
      The concept of wealth can be a funny thing sometimes.  To a person who is rich, a few thousands of dollars or even tens of thousands of dollars isn’t that big a deal.  To others who have less, it can mean everything.  While wealthy people tend to have financial advisers, tax attorneys, CPAs, etc. to help them deal with wealth ownership, the people who need help the very most are the ones who have a little money and no idea how to manage it.  These are the very same people to whom losing their money would matter the most.  I have talked to dozens of people about such things, and virtually all who would benefit from financial management help say the same thing:  “I don’t have enough money to worry about that”.  This makes me think two things very quickly:  1) You are exactly the person who NEEDS such help; and 2) With this attitude it is unlikely that you ever will have a lot of money.  Unmanaged money tends to get frittered away, rather than saved or invested, while money that is managed tends to grow over time.  This does not mean that everyone needs to hire a pro to help with their finances.  But it means, at the very least, that people need to make an effort to understand money, how it works, how to handle it, and how to make it grow over time.  Most people are perfectly capable of doing this IF they are willing to spend some time on it.  Read a few personal finance books.  Read the personal finance magazines.  Read the Wall Street Journal.  Most libraries have such publications that can be read for free.  There’s a ton of info on the Internet on this subject and a lot of it is free too.  Unfortunately, all too many people spend more time planning their next vacation or which cell phone to get next than they do on their personal financial management.  This is a shame, as it means that their finances will always be about where they are today, at best, and that just isn’t going to cut it for those who would like to retire young enough to actually enjoy it or who have other substantial life-goals that require significant funding.  
       
      Sorry to ramble on about this but it is a real sore spot with me.  Those who understand finance better will be able to recognize the threat that bail-ins, bail-outs, and other financial shenanigans pose to their future financial well-being. 
       
      “Are we not looking at squeezing the value of every toxic piece of shit into the amount of physical metals that exist? Or complete default? Either way, I’m not inclined to sell at $50oz silver.”
       
      It sure seems that way.  There is a thought on this that I often have and it is, if this financial glop that has been created over the past several years is so lousy that it cannot survive on its own without a continuous flow of other people’s money to prop it up, why the hell are those in power so adamant about “saving” it?  Crap like this should be flushed to the waste treatment plant ASAP, not saved and resurrected by squandering other people’s money on it.  If it is so wonderful, then let those who created it have all the wonders they claim that it has to themselves… including paying for it!  This old “privatize the profits and socialize the losses” idea is complete BS and more people need to be aware of it and oppose it and any politician who leans that way… regardless of party.
       
      There is a very simple fact of which, apparently, a lot of people are completely unaware.  It is that banking is a conservative business… a VERY conservative business… and it simply cannot be run successfully in ANY other way.  Not ever.  Yet, people continue to try running banks as if they were their own personal cash machine and that any off-the-wall investment they care to make will be just wonderful and make oodles of money for them and their bank.  Unfortunately for them and for many of us, this is just not the case.  What generally happens is that these new banking inventions are not sustainable, lose money, and form a whirlpool of problems that can and will suck the bank under.  These people are literally betting their bank that they can make this work.  When, not if, it doesn’t, they then go running and crying to the government to save their worthless financial butts.  Well, the hell with that!  We need to take a close look at how nature handles incompetence:  something else EATS it.  This is as it should be, for it weeds out the incompetent, hopefully before they can breed, and sustains the competent.  Yes, some individuals suffer these consequences but the species is strengthened and improved.  This path is sustainable and serves as fair warning to all those would-be incompetents out there that they need to be careful or they WILL be devoured.  Unfortunately, government comes riding to the rescue of these financial idiots much more often than not, bails them out with beau coup public money, and resets the stage for the next bail out… or bail in, or whatever.  The truly egregious part of all this, JC, is that no amount of money will correct “stupid”, and that is what we are dealing with in all this.  It is not “a lack of liquidity”, as they tell us over and over.  It is a lack of smarts.
       
      My greatest financial fear is that all these incompetents will be “saved” by government actions that destroy the finances of the rest of us… and then the banks will fail anyway because they really are too stupid to survive on their own.  At that point, we not only do not have a viable banking system but none of us has the resources with which to deal with the problem on a personal level.  Since the fiat / fractional reserve banking system is likely to die a very well-deserved death anyway, then let it do so WITHOUT gobbling down our money just before that happens.
       
      Agree 100% that PMs in hand and perhaps land which we own (for now) will be all that we have left to us IF we continue along the current path… and there is no indication whatsoever that there is any plan afoot that will not continue with the current nonsensical financial approach.
       
      One other thing… if a financial grab of epic proportion occurs in the US, there WILL be a tremendous backlash to it.  Americans will NOT take this kind of s**t lying down.  If the US Fed Gov wants to foment a citizen revolution, this would be an excellent way to get it going.  But they’d best be very careful with starting anything even remotely like this because once it starts, it will be impossible to control, and there WILL be reprisals for all this BS.  The US Military, many of the states, and most of the county sheriffs are unlikely to support them in such blatant and completely unconstitutional thievery.  As a law-abiding person, I look to the courts as our last refuge of peaceful resolution for such problems.  Unfortunately, the courts seem more interested in siding with the financial system than with the citizens.  We saw this in both the Sentinel decision, since reversed, thank God, as well as in allowing bank depositors to be labeled as “unsecured creditors”.  Unsecured my @$$.  Our money should be all of the securing our account needs.  If it is not, then we should not be putting it into these unsecured borrowers vaults.
       
      For more info on the Sentinel decision partial reversal, see:
       

      http://www.reuters.com/article/2013/08/26/sentinel-bny-ruling-idUSL2N0GR1TU20130826

       

    • @Ed_B
      If only I was in the same timezone as you I would enjoy downing a few beers together. There are a few others here I would also enjoy meeting.
      Again more good points I agree with.
      I do wonder if this is purposely being destroyed. For a while now I have wondered if they are trying to put the Cloward Piven strategy into affect. It does look like it. Adding to this I got an email through this morning which suggested Frances Fox Piven is Obama’s closest aide!!!
      If that is true, it starts to show such a picture exists. That’s somewhat concerning.
      I have long felt banks should just be utilities. They should not be profit centres and they should certainly not be running the world. Just like energy companies, water companies. Their profits should be used to improve the service, not line shareholders pockets. I appreciate there maybe needs to be a balance here, but it’s completely out of whack right now.
      JC

    • @Jccjktj
       
      “If only I was in the same timezone as you I would enjoy downing a few beers together. There are a few others here I would also enjoy meeting.”
       
      For sure!  It would be good to talk to people who don’t immediately stop listening or who roll their eyes at every mention my “No, Virginia, things really are not OK” comments.  Among my other fantasies is living in a small self-sufficient community of preppers where everyone helps everyone else.  :-)
       
      I have heard of this Cloward (coward?) Piven (pimp’in) Strategy but have not looked into it in detail.  I did find some info here:  http://www.teapartyconnect.com/102/the-cloward-piven-strategy-explained/
       
      Scary stuff, indeed.  I suspect that the ravings of these lunatics will be used to hunt them down and mete out suitable punishment after the revolution.  >:-]
       
      “If that is true, it starts to show such a picture exists. That’s somewhat concerning.”
       
      Indeed it is.  Perhaps they are the ones who need some time in a “re-education” camp?
       
      “I have long felt banks should just be utilities. They should not be profit centres and they should certainly not be running the world. Just like energy companies, water companies.”
       
      Agreed.  The ONLY money that banks should be allowed to earn should be on reasonable service fees and loans… and nothing else.  If they wish to invest, they can do so with their own money but not with depositor money.  100% of the gains and losses would be theirs, so they’d best invest wisely.
       
      “Their profits should be used to improve the service, not line shareholders pockets.”
       
      If there is no profit to be made by owning bank shares, then no one would own them.  Why would they?  Shareholders have a right to a share of the bank’s profits but how they earn those profits should be very tightly controlled.  The days of “YEE_HAW! Slap leather and watch ‘em fall” banking should be well and truly behind us.  We simply cannot afford them any more.
       
      “I appreciate there maybe needs to be a balance here, but it’s completely out of whack right now.”
       
      It sure is.  I sometimes feel as if the economy is a giant machine with many moving parts.  As I watch the machine, it begins to vibrate and various parts get out of sync with other parts.  This can only get worse, so it does, until the entire machine shakes itself to pieces.  The free market deals with this on a daily basis.  Those who think they know better than the market never do and seem to cause more problems than they solve.  If I hear one more twit on TV say what a wonderful job Bernanke has done, I may just shoot my TV.  :-(
       

  3. Ya’ll would have to agree that it does take some balls to make calls like Turd does, he has that going for him.  No mealy mouthing around about 2 to 5 years down the road, no leaving himself an out.  Nope, he has courage of his convictions, and that is unique among the pundits.  Cheers, Turd!
    That said, I would hesitate to accept CoT reports or inventory figures as fact, since they are generated in the bowels of the banker’s back rooms.
    Look at the BLS unemployment statistics, they are pure fiction used to steer the market this way or that, and the COT reports, etc, might be about as valid as all the other ‘data’ the Banks.gov provides.
    One last thing, the bankers make hundreds of billions, and rule the financial world via paper derivatives.  Any windfall from going long gold will be erased ten times over by derivative losses, so my guess is, they are only reloading the shorting guns if they are sucking up all the bullion.

    • Conax: I agree they are reloading their powder to take the market lower.  We’ll probably see a modest rise to $22 or $23 before the next wave hits.  On a flip note “when” the banks really start going long they’ll quickly buy up all the real bullion from the street.  When “all of a sudden” shops seem to be sold out of gold and their dealers are stating it could be a couple months before next deliveries you will know a revaluation is about to happen. 
      Right now if you go to APMEX and they have oodles of coins available.  When all of a sudden their stock is depleted in one or two days then you know somethings up.  Until then just sit back and enjoy the show..

    • If it wasn’t an insider they would have no idea what the liquidity situation was like. If they were, on an impending price rise you want to buy as  much as possible as low as you could ergo a large buy order.
       
      On the other hand, dumping a huge order without regard for minimizing loss doesn’t make sense IMO.

  4. @Powerball
    I wouldn’t say they will succeed at their $1000 gold operation, but I would bet my last silver dime they will continue to try.
    Their ‘Get out of Jail Free’ card depends on it.  That’s a nice card to have.  They will fight tooth and claw all the way up.
    The world is waking up to the game, and that is our best hope. 

    • As long as paper controls the real bullion 60:1, there’s no reason they couldn’t push the price down to something insane like $500.  They’re walking a fine line to push down the market while keeping the real bullion price from separating from the paper price.  It’s my input what we really want them to do is push the price down to something like $500.  This would help set the real bullion free from the paper chains and allow it to achieve true worth. Whether that true worth is $1,800 or $20,000 at least we’d have real price discovery.  I like Precious Metal Pete’s predictions which seem to be playing out. 

    • “The government are the ones mandating manipulation of precious metals, as directly admitted by federal reserve chairmen and presidents over the years.”
       
      Indeed so, CDL… but those guys thought that their comments on this were safely locked up in the bowels of government, never to see the light of day.  And then, one day… WHAM!  Here comes the Freedom Of Information Act!  All of a sudden, all that light shining on their skulduggerous acts made them a LOT more careful in how they communicated.  FOIA requests can liberate all manner of written words for public examination but doesn’t help a bit with that which is spoken, unless it is recorded.
       

  5. Personally, I am not a TF fan.  But I do appreciate a good yarn when I hear one.  He seems fairly creative in some of this.  Well, who knows?  Maybe he is right about this.  If so, the message is clear enough.  Stack ’till we drop… and then stack some more.  :-)

    • He has his facts straight (I posted similarly the other day).  I disagree with his conclusions, but that is just me.  I find it especially interesting that one of the big boys who is involved in the gold sector from exploration to supply chain has decided to give up their ownership.  Maybe JP has a better read on the whole thing?  We’ll see.  It’s going the right way today.

  6. JPMC is very much controlled, in all likelihood, by the Rockefellers, who held a big stake in Chase Manhattan bank. I wouldn’t be surprised if Dimon reports to the Rockefeller Brothers Trust, who perhaps really control that show. I may be wrong here, but I thought I once read that HSBC is a Rothschild controlled bank. The Rockefellers and Rothschild’s are connected at the hip. Therefore, my logical conclusion here is that they are essentially one entity. Now, given that HSBC has a short position larger than the JPMC long position, then essentially it’s as though we have here one entity that is net short. In my opinion there’s thus nothing to see here, so just move right on. The JPMC long position is probably nothing but smoke and mirrors to convince small spec hedge funds to buy imaginary paper gold long COMEX futures that end up stopping out to the down side in a loss.

    These smoke and mirror games will likely continue on for a handful of years, as some PM holders, one by one, throw up the white flag and surrender their metals, and small hedge funds completely lose interest in ever buying a long COMEX futures contract ever again. The game won’t change until it has to change, and that won’t probably happen until the banksters recognize the importance of hoarding silver (real not paper)in anticipation of the expected 2029 mining extinction event prognosticated by the USGS ’09 silver report. Silver will likely drag up all PMs with it as it explodes to the upside at a much higher percentage than the other PMs.

    Indeed a currency reset may happen, but there’s no guarantee it will happen, or how soon. TF assumes it will happen in the short term, as though it’s a given, written in stone. He may end up right, but making such an ASSumption can explain where TURD comes from!

  7. Haha!
     
    Why buy into that BS?
     
    Gold Futures opened at the same time as private ownership of gold was made lawful on December 31, 1973.
     
    Do I hear the words ‘conspiracy’ and ‘manipulation.’
     
    The whole system has been gamed!

  8. A thought’s been crossing my mind for a few days, reading our posts and essays.   It occurs to me that we are strong hands sitting at the sideline, near to an decades-long ongoing  silver and gold war, suffering collateral damage but still strong hands willing to stay the course
    The big players work the silver market like a day job, a market  worth about $20 billion for the entire annual supply production or $2 trillion if the paper traders work that same 1 billion ounces annually. 
    That would make physical silver unable to resist or break free from  that ebb and flow
    Gold is the really big market with  a 4,000 ton flow a year.  2,600 tons are accounted for in production including China’s mines.  Nonetheless demand is 4000 tons a year.
     Gold is  $40 million a ton.  The 2600 tons is over $106 billion.  4000 tons is $160 billion.  Paper trading comprises 100 times the physical tonnage  of 2,600 tons and should come to $11 trillion or thereabout if each physical ton has as its paper traded corrollary of a 100 times factor
    Yes? 
    No?
    $11 trillion in trading is a large amount for such a small amount of any commodity, particularly one where the entire world production could be transported in 20 heavy transport plans or one small cargo ship.  And yet there is such a to and fro fuss about this metal
    Yeah, I know, it’s not silver and not our favorite metal but it’s price does drag silver up and down.
    I certainly don’t think silver moves gold.
    Not much to say here, just observations at the side of the battle lines
    but it is interesting that we small but strong hands  observe the battles whilst all about us are those wringing their hands in contempt, glee or fear as to the price of metal.

  9.  Whiskey Zero  thanks for the words of encouragement  to us all.  We labor in the salt mines, trying to increase our awareness as we increase the awareness of others. 
    A little bird told me that the alternative media—that’s us folks—drives the news cycle and is becoming a major force in building people’s awareness.
    It is a thankless, toiling slog but it is worth it. 
    This was a day for the record books on a personal level which put me on edge the entire day.
    Reasons for it?  Unimportant.
      By SRV did set me off on the Obamacare Janda essay.
      And Pat Fields, thank you for your encouragement.   Being a bit more enlightened is a good thing.
    Jefferson did say it the most eloquent fashion, that when we are confronted with a train of abuses, suffering largely in silence, this train of abuses and usurpations must be thrown off and we must throw off the evil that goes with it.
    New guards for their future security? 
    I wonder how I will fit into that. Time will tell.

  10. Now, I’m smelling a Currency Reset sooner than later here…. and if HSBC settles in cash at the newly devalued dollar rate, then both  JPM and HSBC win.  Anyone like to hazard a guess what will happen to the gold price in US Dollars if that reset happens in the next 90 days?

    Oh, and if such occurrence is about to happen, you can bet your a** JPM AND HSBC know it’s coming… Now, Turd’s analysis, to me at least, seems to be consistent with what I would think JPM would be up to in advance of such an event. Thoughts, anyone?

  11. Sorry, I don’t get the point of ambiguous posts. The dude talks about QED and yet all I have seen is that JPM hold a large long position. So what?
     
    If you actually think that these animals would just be playing a straight long game, you would be gravely mistaken. They have arbed their position. Somewhere, someplace they are shorting gold at the same time.
     
    Example of an arb:
     
    Bet long gold (decimal odds): 2.1
    Bet short gold (decimal odds): 2.1
     
    £1 on each side would guarantee a return of 10p. Its locked in.
     
    what does this mean? well, it means that as long as they have balanced the arb, then they will make money either way, placing money on each side of the seesaw as and when appropriate.
     
    This is a simple, stupid example, but is the basis to arbing. Putting money on both sides and still making money.
     
    Unless someone can turn round to me and say “yup, JPM are Long, and are not covering the bet with shorts”….I say…whatever….nothing to see here, just useless information. Even worse, its all paper gold! and lets all recite the lords pray on that one.
     
     
     

  12. Turd and Jim Willie are about the only 2 I listen to now.  All the other King-W-News steam blowers are ignored.  Great respect to Turd for discovering this Gem, or should I say Gold.  I have been stacking since 2011 and I am tired of stacking.  1 more Kilo to go, and I have converted 1 million FIAT to Gold.  Time to retire and Play Litecoin from now on.  Stacking is over for me.  ;)

    • @silver psycho  - I like Jim Willie a lot, regardless of the haters. I have much time for Mike Maloney too. Turd is a good egg and is helping fight the fight. I don’t care if he isn’t always right, he wears his heart on his sleeve and tries his best to discipher the bullshit. That my friend is a good stack! Much quodos to you. Got juuuuuust a little bit more to go to get there!!! Never tire of stacking ;)
      I’m intrigued by the cryptos – have been for some time, I like the look of Litecoin, Fastcoin and BBQcoin, well they are the ones I’m checking out first.
      JC

  13. waitingforsilver.  wouldn’t it be rich if JPM miscalculated their precious metal trades like Iskil did with his London Whale mistakes that cost JPM about $7 billion in IR Swaps.  It would be hysterically funny to me if their gold trade somehow got out of their hands, cost them $7 billion and the price ripped upwards like lightening?   I’m less than an amateur when it comes to understanding the nature of these trades, how they are made and how they play out. 
    I’m more in the human nature sandbox, knowing that all the king’s horsemen won’t be able to do much more than make a big old omelet when Humpty Dimon has his fall. Greedy thieving humans, easy to see in their complete abandonment of principals are also easy to identify once you’ve studied their actions in the sand box. All the math in the world won’t disguise the nature of the human scorpion.

    But as you say jccjktj, these contingencies are all planed for with bail-ins.  Make a mistake? The depositors and creditors make it right, with the theft managed by the government overseers. Over 2 years ago I started reading the prospectuses of Fidelity Investments. One of my first ‘best of’ described what I found. 
    Speaking of MFG Global, Ann Barnhart showed me how any brokerage account is just a large piggy bank ready to be broken open by a criminally inept broker owner or the government.
    Sometimes it’s hard to see a spark of light flash between them, they are so closely tied, rotating from a banker job to a government job and vice verse, both of which have the job description:
    Would you be willing to lie, cheat and steal from your constituents if asked to do so?
    Yes?
    Good.
    Welcome aboard My Geithner, Mr. Lew, Mr. Bernanke, Mr Dimon and Mr. Blankfein.
    We have God’s work for you to do here.
    The muppets will be well served.
    Yes, the major bourses are all bound with the requirements of bail-ins.  Europeans have seen bank accounts, brokerage accounts and pensions used, blatantly stolen by the government, to bail in banks. Poland just stole 28 billiion Euros of private pension plans to balance their budget. 
    Gee, I’d like to balance my budget by robbing my neighbors. Life would be so much easier if I didn’t have to work for a living, just steal with inpunity from anyone trusting enough to believe that I was a nice person and meant them no harm, until I cyprused them and stole their life savings. But then I’d have to work for the government or maybe a TBTF bank.
     
     

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