Bullion Banks Attempting to Set Up Specs to Take the Blame for Coming PM Futures Massacre!

silver smashThe disaggregated COT numbers reveal all the action last week was in the producer merchant, the evil bullion banks as we know them and “love” them (loathe them actually), and they added 5,960 longs and 7,018 shorts. 
The bullion banks are reaffirming their intention to massacre the metals price and they do this for no other reason than to encourage the speculators to purchase more shorts.  This is resulting in more and more commitment to the downside by the speculators who will be blamed for the crash to come! [Read more...]

Large Decline Of Shanghai & Comex Silver Stocks

Comex silver Total Stocks March 10 2014Something interesting took place at the Comex and Shanghai silver warehouses over the past month.
Silver stocks at both these warehouses peaked at about the same time, March 10th.
However, for the past month, a substantial amount of silver has been removed from both warehouses. [Read more...]

Are Dimon & JPMorgan Throwing Blythe Masters Under the Bus?

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BlytheThe Doc & Eric Dubin are back for the Metals & Markets to discuss:

  • 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:

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Alasdair Macleod: Higher Silver Prices Likely to Trigger a Vicious Bear Squeeze!

falling-bearUnlike gold, where Comex volume is moderate, silver volume is high indicating very strong support at current levels. The obvious conclusion is that bullion banks trying to balance their silver books cannot do so at current prices.
Yet higher prices are likely to trigger a vicious bear squeeze, so it appears the bullion banks with short silver positions will remain trapped either way. [Read more...]

Monetary Metals Explains How Speculators Could Crash Silver to $12!

silver crashIncredible as it may seem, at the low price of $20, speculation in silver is rampant. Market participants are trying to front-run a big price move. Due to rumors or gut feel or for whatever reason, they are expecting not only that silver will outperform gold, but that the silver price will rocket to a much higher price. Their frenetic buying of futures has pulled a lot of silver into carry trades.
Maybe hoarders will all of a sudden increase their appetite for silver metal that they will take off the market and bury. If so, the silver futures speculators will be proven right, and they will make a lot of dollars (money is a different story entirely).
I would not recommend that anyone bet his hard-earned money on a maybe.  The data—both open interest and basis—show that the buying in the silver futures market is primarily speculators. They cannot sustain a higher price forever. They are merely trying to front run a higher price driven by hoarders. If hoarders don’t come in, the speculators will be forced to capitulate.  If that happens, watch out below.
The neutral price of silver is in the $16’s today. If the price overshoots as far to the downside as it is now stretched to the upside, we could see silver with a 12 handle.

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Is Desperation Setting In?

untitledAfter the metals staged their usual overnight rally while the physical gold hoarding Asian markets were open, Wednesday morning featured two HFT-algorithm flash crashes. One at 7:00 am. EST and one right at the Comex open (the latter occurs at least 85% of the time).
The intervention in the gold/silver market reflects desperation from the western Governments/banks, especially the U.S., in order to prop up the U.S. dollar.   Russia and China are getting ready to sign a series of gas/oil deals which will be transacted using rubles/yuan.  Russia’s main bank just signed up for China’s equivalent of Visa/Mastercard after the U.S. sanctions restricted the use of Visa/MC in Russia.

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SRSRocco Reveals The Grand Deception In the Precious Metals Industry

debt chicaneryMany precious metals investors are being deceived and they don’t even know it.
There is so much fraud, manipulation and deceit taking place in the economic and financial markets, its amazing the system hasn’t collapsed already.
However, there is another big problem taking place in the precious metal industry that has frustrated me to no end.  This is what I call the “Grand Deception.
Let me explain…
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Marshall Swing: Cartel Preparing Epic Gold Raid!

silver smashThere was a definite attempt last week by the cartel to dislodge the speculator shorts and cheat the people out of the notion of profiting from their intended plunge in metal prices.
In Silver we did not see much dramatic action.
BUT, what is not so dramatic in silver IS dramatic in gold.
In gold we saw a reduction in total open interest of almost 35,000 contracts!  That is almost 7,000,000 (yes you read it right) 7 MILLION ounces!
Notice the commercials have the lion’s share of open interest reduction, because if we add up the speculators reductions and additions, we see they are not quite a wash but absolutely MASSIVE open interest reductions on the part of the commercials.  To what end?  Just to drop the gold price a little?  I don’t think so.
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Elite Manipulation, Not Chinese Demand Remain in Control of PM Prices

Jamie DimonFor the past several weeks, we have shifted focus on what we see as the truer “story” of the PMs market, [Precious Metals].  Some may think we have gone off on an unrelated tangent talking about the elites and fiat currency.  The PM community has maintained a relentless focus on how much gold is being imported by China, the diminishing supply of physical gold at COMEX and LBMA, and a host of other popular statistics that support what seems to be important for gold and silver adherents in their beliefs that should ultimately lead to higher prices. 
The Law of Supply and Demand is what determines price.  Not enough are looking at how the elites are able to distort that Natural Law and bend it to their will.  It is the power they can exert, and distort, on any aspect of human life, at least in the Western world, that keeps gold and silver at unnaturally low prices.  The more cogent issue is, for how much longer can elites keep their unnatural control over the natural forces of Supply/Demand?

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Precious Metals: 6 Degrees of Separation as HFT Goes Mainstream

6 degreesA recent 60 Minutes television show interview revealed the long established electronic trading mechanism used to front run and carry out price management and profit schemes across trading seconds. In the wake of the interview, one cannot help wonder how many degrees of separation exist between public awareness of this and its connection to futures and precious metals price manipulation. [Read more...]

The Accidental End to Silver Price Manipulation

big resetIt should be clear now to most precious metals observers that gold and silver price manipulation is just as common to the metals as it is to every other asset class. And equally evident should be the realization that resolution will not come from organized efforts. Be it regulation or legal class action, market forces will more than likely assert themselves.
To bring justice for the precious metals investors would mean sacrifices to the status quo to the point of failure. This is in large part because of the massive expansion of the financial sector, including the corporatization of giant investment banks; we have enabled a system to flourish without responsibility of real skin in the game.
Silver and gold lie at the center of this. For, once the last vestige of backing was removed from currencies; this cancer was allowed to flourish. To bring in the cure at this point would risk destroying everything from the derivatives complex on the outside all the way to the beating heart of what is left of the economy. The destruction would be widespread and only history would be able to judge the heroic efforts of the movement that ended it.
Surely in real-time ending the misunderstood and framed act as a criminal ploy – a terrorist act, no less. And sadly, when market forces finally converge to resolve this, someone will surely take the fall. Perhaps we are seeing this already as a wave of suicide spreads through the banking class.

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Jim Rickards Is Wrong About The Market Regulators

Jim Rickards ChinaJim Rickards is dead wrong is in his assessment that the regulators are “asleep at the switch.” The regulators are not asleep at the switch. The manipulation is being done on BEHALF of the U.S. Government to support and defend the reserves status of the dollar. Without the reserve status of the U.S. dollar, the U.S. Government is nothing more than just of a bigger version of the many countries who have nukes but no real geopolitical power.
If the Government were to allow gold to trade freely, the price would quickly adjust to a much higher price level. It would happen in a way which shock and awe the world and completely erode away any “confidence” in the U.S. dollar as a currency. The regulators know this, the Fed knows this, and China knows this.
This is why China is accumulating more gold than is being produced by gold mines globally.

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Marshall Swing: The Grand Slam is Coming!

home runSomebody is getting suckered, my friends, and you can bet it is not the commercials.  Just notice that gold price chart going up, up , up but not away.  What has gone up is about to come down. [Read more...]

Bank Participation Report Reveals JPMorgan Engaging in a Civil War, Goes Long Gold!

Blythe Masters Jamie DimonThe 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? 

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Marshall Swing Warns Cartel Could Crash Silver to $15!

freefallWell, SD readers, we have gotten a mild price attack on the metals but nothing as severe as what I think is to come.
Notice, despite the commercials discarding large open interest contracts in both shorts and longs they even deepened their total open interest net short position and are very close to 200,000,000 net ounces short.
My calculations say they can crash silver price to $15 if that is their target. [Read more...]