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PM fund manager Dave Kranzer joins us this week for a power packed show discussing: 

The SD Weekly Metals & Markets With The Doc, Eric Dubin, & PM Fund Manager Dave Kranzler is below: 

GLD

Gold has suffered a rough couple of months, getting pounded below major support.  One driver was stock-market capital flowing out of gold again, as evidenced by renewed differential selling pressure seen in gold-ETF shares.  But this was minor compared to last year’s, despite extreme bearish sentiment plaguing gold.
Gold-ETF selling exhaustion has effectively been hit, paving the way for big rebound buying.

Pisani gold gld

In a move that is much more significant and relevant than the Chinese interest rate cut news, it was revealed that Netherland’s Central Bank repatriated 120 tonnes of gold this year.   The move was accounted for as a transfer of gold from the NY Fed to De Nederlandsche Bank (DNB).
I say “accounted for”  because I believe it is highly likely that the physical transfer took place from the GLD custodial vaults to the DNB. 

paper gold

A few months ago the comex had 303 tonnes of total gold. Today the total inventory rests at 255.02 tonnes for a loss of 48 tonnes over that period. .
Furthermore, there is now evidence
of paper settling on the COMEX!
Let’s head immediately to see the major data points for today:

HarveyOrgan1

The bankers came to work early yesterday in the access market knocking both metals down.
However throughout the night, gold rose nicely and then at 12 noon today, something spooked our bankers as gold rose to $1165 only to be repelled back to $1163.00 on closing.  However late in the access market, gold again rose to $1173 upon which it was easy for our bankers to offer naked contracts and lower the price to $1164.00 at access closing time.  Something is spooking our bankers!!
Let’s head immediately to see the major data points for today:

HarveyOrgan1

Gold and silver had a terrible day today.   As I warned you on Friday, “Monday is a critical day.  Rarely do they ever let gold rise in a follow through.”
The bankers came to work early this morning at 6 am est and knocked gold and silver down badly and the kept the pressure on throughout the day.
Let’s head immediately to see the major data points for today:

HarveyOrgan1

Today, we had a huge withdrawal of gold Inventory at the GLD of 2.39 tonnes/ inventory rests tonight at  738.82 tonnes.
I am deeply concerned that most of the gold that enters as a deposit at the comex are of the kilobar variety i.e. exact multiples of 32.15 oz!
Let’s head immediately to see the major data points for today…

Pisani gold gld

Another 2 tonnes of gold was removed from the GLD trust yesterday.  The last time the reported amount of gold in GLD was this low was November 18, 2008.   The price of gold was $738.
Despite the fact that the price of gold is up about 2% YTD, 6% of GLD’s reported amount of gold has been removed by the bullion banks.
I predicted in 2009 in a report I wrote about GLD’s legal structure that GLD would eventually suffer the same fate as Enron.   In fact, our entire is system is one giant Enron/Madoff Ponzi scheme.

To compound the removal of the “visible” physical stock of gold from our western system, nearly 10 tonnes of gold was removed from JP Morgan’s Comex gold vault:

EmptyVault

As the increasingly volatile stock markets bounced back higher today,  JP Morgan experienced one of the largest withdrawals of gold from its inventories this year.  In just one day, a stunning 321,500 oz of gold (10 metric tons) were removed from JP Morgan’s Eligible inventories:

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. 

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…

GLD(Editor note: the question is where will GLD find the physical gold to replace the inventory that was sucked East in 2013?)

The mighty GLD gold ETF’s bullion holdings have remained stable in 2014, an impressive feat.  Last year they suffered an epic outlying record plummet as the Fed’s stock-market levitation sucked capital out of alternative investments.  (and as the East sucked every ounce of AU out of the vaults)
This year’s resiliency in the face of the ongoing stock-market melt-up almost certainly means the bottom is in.  GLD’s holdings are set to surge as weaker stock markets entice traders back.