What follows is how JPM manipulated the silver markets by selling the Silver contango during illiquid hours, then used their deep pockets to push settlements, then waited until margin calls made the large locals puke their positions. JPM in effect stretched the relationship between forward rates and futures spreads until they made no sense anymore. Not unlike a company trading at 50x earnings. It cannot last long. But it only has to last long enough until the guy with the position opposite you has to liquidate…
Myself and a few others – primarily GATA – have been suggesting for quite some time that
While certain newsletter peddlers adamantly maintain the reports are accurate and honest in order to preserve their franchise, there’s nothing like the CFTC imposing a fine on JP Morgan for fraudulently reporting “large trader” data: CFTC Charges JP Morgan With Reporting Fraud.
JP Morgan has finally been caught and sanctioned for playing games with its position reporting in gold and silver in order to hide the true magnitude of its unhedged short positions on the Comex.
Blythe Masters is perhaps the most maligned human being on earth by silver investors due to suspicions of JP Morgan’s manipulation in the silver market. Well she’s back in the news, but it has nothing to do with silver.
Rather, the news relates to the fact that her ex-husband and commodities traders, Daniel Masters, has just launched a Bitcoin hedge fund from the island of Jersey, a British Crown dependency.
What just happened to the metals’ price?
It went up and absolutely killed those speculator shorts that I talked about last week.
But GUESS what the commercials did as price went HIGH?
You got it, my faithful readers, THOSE COMMERCIALS picked up 11,890 short positions at higher prices.
Guess what is about to GO DOWN?
As price comes DOWN, BUY BUY BUY BUY physical from The Doc and once the dust clears on the world wide financial collapse next year you will sell your physical at astronomical prices and reap a great harvest.
They are solidly in control of the monetary system of the world but have over invested in the greedy derivatives game and those bets are going to go down next year in a HOUSE OF FLAMES.
- Gold & silver capped by the cartel at $1300 & $22– is a big move on the horizon?
- The Dollar’s death by a thousand cuts suffers numerous flesh wounds as Russia prepares major oil deal with China
- The Doc updates listeners with the state of the physical gold & silver market in the US via the eyes of SDBullion- Silver Eagles live in stock with all the Authorized Mint purchasers for the first time in 2014!
- Blythe Masters reportedly under investigation by Federal Prosecutors in Manhattan– will Blythe Masters be the first top level banker convicted in the aftermath of the financial crisis?
The Doc & Eric Dubin discuss all this and more in the latest SD Weekly Metals & Markets:
It appears that silver investors’ days of deriding Blythe Masters as the face of JP Morgan’s alleged gold & silver manipulation may be over, as Jamie Dimon has formerly announced the sale of JPM’s commodities division to Switzlerland’s Mercuria for $3.5 billion.
The Morgue will however reportedly continue its global commercial gold vaulting business, as well as financial products (derivatives) and will continue to “make markets“.
Perhaps Blythe should re-apply for a position at the CFTC?
The Civil War in gold continues. JPM Morgan is still NET LONG 45,000-50,000 contracts. The other 23 banks are desperately shorting gold, attempting to cap price and keep it below the technically-critical $1350-1360 area.
Which side will win in the end? That’s hard to say but I certainly think it would be foolish to bet against the ultimate Masters of Darkness. I mean, seriously…the other 23 banks continue on as if it’s business as usual…selling while prices rise and covering on dips…while JPM maintains it’s NET LONG position acquired while price from $1800 in October of 2012 to $1200 in June of 2013.
Clearly, the other 23 banks have a lot of ammo left to use to contain rallies, but the key to 2014 and beyond continues to be JPMorgan. What will they do with their NET LONG position? Will they flip it back to NET SHORT? Will they stand for delivery?
Will they <gasp> actually add to it on continued price strength?
- Blythe Masters joins the CFTC for 12 hours to advise on Swaps regulation- TF lets loose on the audacity of the criminal banksters
- Price trends in precious metals and fundamental underpinnings going forward
- The Doc’s retail market report– big money is buying physical with both hands
- Turd Ferguson on the “end game” of the “Great Keynesian Experiment”- TF calls for gold to break its 100 DMA to the upside next week, gold & silver to challenge $1525 and $26 in 2014.
Turd Ferguson discusses market manipulation & his outlook for the metals on the SD Weekly Metals & Markets!
In perhaps the most bearish news for paper gold & silver prices of the year, the head of JPMorgan’s Commodities division (and the face of the bank’s alleged manipulation of the gold & silver markets) Blythe Masters, has just joined the CFTC in ad advisory role for swaps regulation.
No, this is not April 1st, and yes, you read that correctly. Blythe Masters, welcome to the CFTC.
In another stunning withdrawal, JP Morgan had an additional 321,500 oz gold ounces removed from its vaults today.
Since last Thursday, JP Morgan has lost 44% (20 metric tons = 643,000 oz) of its gold inventories.
If a picture is worth a thousand words, then the table below is worth over $400 million (at current market prices):
JPM 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.
*Updated 11pm EST 9/25*
Well, that didn’t take long. After Andrew Maguire went public last Friday that the CFTC is holding evidence that JP Morgan manipulated the gold and silver markets, moments ago the CFTC announced it is closing its 5 year investigation into silver market manipulation, and that after 5 years of investigation the CFTC has found:
“Based upon the law and evidence as they exist at this time, there is not a viable basis to bring an enforcement action with respect to any firm or its employees related to our investigation of silver markets.”
Something tells us Mr. Chilton won’t be releasing any contrary statements by the end of September as promised either.
Let the manipulation continue indefinitely until the last ounce of physical gold and silver are removed from COMEX vaults!
My assumption is that JP Morgan is not calling the shots all by itself.
In fact, our government probably despises gold. And fears that one day millions of Americans will wake up and start buying the stuff in mass.
With JPMorgan’s COMEX gold vault down to all-time historic lows and the firm looking at a $1 billion settlement with FERC over Blythe Masters’ manipulation of the electricity market, JPM has just announced shocking news that the firm is seeking a sale, spin off or strategic partnership of its physical commodities business.
JPM is getting out of the silver manipulation game. Perhaps they’ve been warned by the CFTC.
Perhaps they simply see the writing on the wall. It’s impossible to say.
What we do know is:
On this week’s SD Weekly Metals & Markets, we’ll cover:
Doc’s physical market trends report- silver shortage easing?
Back over $22 silver with the commercials (& likely JP Morgan) nearly net neutral in silver– what it likely means
Next week’s FOMC: QE tapered or has the Fed run out of room for MOPE with foreign governments outright selling $50 B of Treasuries in May?
- We cover Edward Snowden & the NSA’s PRISMGate with a “Wag the Dog” rhetoric and war drums ramping up against Syria- major regional conflict could erupt involving Iran, Syria, Russia, and Israel should the US launch a ground invasion of Syria
The SD Weekly Metals & Markets with Eric Dubin & The Doc is below:
*Update: Whistle-blower testimony completely removed from the final cut…while Jeffrey Christian insisting Fort Knox contains all the gold advertised is included.
Guess we’ll have to do this the hard way and drain every last physical ounce…
The CFTC is sitting on information that implicates JPMorgan as manipulating the futures market in Silver and Gold. The reason this is so damning is that the CFTC has evidence that incriminates JPM as having malicious short positions designed to influence the price action of Silver and Gold towards JPM’s favor; akin to the LIBOR scandal in which rates were manipulated down towards the banks favor. –JPM Whistle-blower
The PM community has been waiting over a decade to see the gold and silver manipulation story go mainstream, as the LIBOR scandal did last summer.
As of 9pm EST tonight, the wait is over…
Please understand that the psychopaths who are running the world will apparently run this game until the very last ounce of strength (Gold & silver) is gone. More and more demand for physical metal is showing each and every month. When the “bottom of the barrel” is reached the game(s) will stop, physical metal for sale will dry up entirely and literally no amount of fiat currency will secure it. You are being offered the greatest price discount in relation to money supply in history right now, secure holdings now because later the only way to do so will be with real goods that owners are willing to barter for.