Posted at 4:28 PM (CST) by & filed under In The News.

Jim Sinclair’s Commentary

Sometimes old fashioned is not so bad. A mayo jar in the garden under the kale can give you comfort your computer and Skype audits never can.

What good is a floatation device stored in a safety deposit box when you just fell off your boat in heavy weather?

Notice of change in Tavex ABs payment system

Dear clients,

We would like to notify you that starting from 15:30 Thursday, June 30, 2016, we must stop accepting banktransfer and bankgiro payments for gold and silver orders to our Swedish SEB account.

The reason for this has to do with the fact that SEB has informed us – at a very short notice – that they will close down our bank account. Regrettably, this decision by SEB was taken without prior consultation with us, and, besides stating in their notification letter that the termination of the account has to do with “a general business decision”, they have yet to provide us with a concrete reason why they choose this course of action.

However, as you all are aware, the banking system in Sweden is pushing heavily into the direction of a cash free society, and Tavex, as one of the biggest wholesale supplier of physical notes & investment metals in Sweden, is according to our view being targeted by the big merchant banks.

And although this situation is creating temporary operational difficulties for us, and inconvenience for you, it will not have a lasting negative impact on our business models, or on our determination to keep on providing our clients with cash currency and physical investment metals.

Having said that, we are feverishly working on setting up a new payment system, which we believe will be operational in two to three weeks’ time. In the meantime, all orders placed via our webshop after 15:30 Thursday, June 30, 2016, can be paid by making an international payment to Tavex AB Estonian Swedbank account. This account is setup up for receiving payments in SEK, which means that there is no exchange fee when funds are transferred from Sweden to this account. All other operational procedures such as: delivery of products, pickup of products at our offices, insurance of packages, and customer support will remain exactly the same as before.

We apologize in advance for this inconvenience and hope that you sympathize with us. We are doing our utmost to make this transition as smooth as possible and we thank you for your past support and look forward to your continued patronage at Tavex AB.

Sincerely,
Anton Otahal

Sales Director
Tavex AB

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Posted at 1:02 PM (CST) by & filed under In The News.

Bill Holter’s Commentary

Normally I would call this “Friday humor,” it is not. This is sad on so many levels. “Exceptional” is certainly not the word I would use to describe our once great nation. Please enjoy your long weekend but remember what it is you are celebrating.

 

Jim Sinclair’s Commentary

You do not become a one percenter without a thorough study of Machiavelli’s strategies.

There are some many possible twists and turns in this meeting and this decision it boggles the mind.

Lynch pressured to recuse herself after Clinton tarmac meeting
By Julian Hattem – 07/01/16 06:03 AM EDT

Pressure is intensifying for Attorney General Loretta Lynch to hand off oversight of the federal investigation connected to Hillary Clinton’s private email server.

Calls for Lynch to step aside — which had already been simmering for months — appeared primed to boil over Thursday following the attorney general’s unscheduled, private meeting with Clinton’s husband, former President Bill Clinton.

“Considering the ongoing criminal investigation of Hillary Clinton, this secret meeting between the Attorney General and Bill Clinton shows an astounding lack of judgment by Loretta Lynch,” House Majority Whip Steve Scalise (R-La.) said in a statement on Thursday calling for Lynch to recuse herself.

“Given the culture of unaccountability in the Obama Administration, it is unlikely that Attorney General Lynch will heed the growing calls for her resignation,” he said. “But at a minimum, Lynch should immediately recuse herself from the Justice Department’s criminal investigation into Hillary Clinton’s unlawful activities, and appoint a special prosecutor to handle the case, so the American people can know the truth about this secret meeting and finally rest assured the criminal investigation of Hillary Clinton is being conducted fully and impartially, without even the appearance of corruption.”

A Department of Justice (DOJ) official told The New York Times that Lynch will announce Friday plans to accept whatever recommendation career prosecutors and the FBI make regarding charges related to the server. The department had allegedly been moving toward that arrangement for months, but Lynch’s sit-down with the former president apparently sealed the deal.

The 30-minute meeting on the tarmac at Phoenix’s Sky Harbor International Airport aroused further suspicion about the political pressures weighing on the DOJ.

While Lynch said the meeting was purely social, critics are using it as evidence of bias. Fellow Democrats such as Sen. Chris Coons (Del.) questioned Lynch’s judgment, as did outside observers.

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Posted at 12:50 PM (CST) by & filed under In The News.

Jim Sinclair’s Commentary

This is why Brexit is not a one day problem.

MERKEL’S WORST NIGHTMARE: Germany calls for Referendum as ‘people want to be free of EU’
BELEAGUERED Angela Merkel is facing calls for a referendum to free German people of “EU slavery” in the wake of Britain’s sensational decision to cut ties with Brussels.
By Rebecca Perring
PUBLISHED: 03:09, Wed, Jun 29, 2016 | UPDATED: 13:29, Wed, Jun 29, 2016

Far right figures in Alternative for Germany have promised to call their own vote if they clutch power in country’s general election in autumn next year.

A party spokesman branded Brussels a “bureaucracy monster”, before adding: “Next year the AfD will enter the German parliament and Dexit will be top on our agenda”.

They called the vote a Dexit as it stands for a Deutschland exit from the EU.

Eurosceptism has swept across the continent after the people of Britain backed Brexit in the historic EU referendum on June 23.

AfD chairman Bjorn Hocke said: “I know the German people want to be free of EU slavery.”

George Pazderski of Berlin AfD Berlin AfD added: “Germans must decided on staying in the EU.

“The AfD is the only part which speaks out clearly in favour of them deciding.”

Party leader Frauke Petry, who caused controversy earlier this year when she called on German police to open fire on illegal immigrations, reacted with delight at Britain’s decision to sever ties with Brussels.

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Posted at 10:00 AM (CST) by & filed under Jim's Mailbox.

Jim/Bill,

Much of what we are seeing appears to have its roots in supply.

“Credit Suisse forecast gold supply deficits for this year and next, projecting increased demand from exchange-traded funds and hoarding of bars and coins.

“Meanwhile, we continue to expect mine supply to decline over the next three years,” Credit Suiise said.

“Credit Suiise looks for a physical silver supply deficit of 114 million ounces this year and 55 million next year, before returning to balance in 2019.”

Solid foundations, on top of global political turmoil and extensive realignment of currencies in the FX markets, spells good news for holders of physical gold and silver.

And that’s an understatement, as such reports are usually tempered quite a bit!

CIGA Wolfgang Rech

Credit Suisse Sees $1,500/Oz Gold By Early 2017
By Kitco News
Thursday June 30, 2016 10:20

(Kitco News) – Credit Suisse is forecasting that gold will hit $1,500 an ounce by the early part of next year on prolonged macroeconomic uncertainty.

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Posted at 8:35 AM (CST) by & filed under In The News.

Jim Sinclair’s Commentary

The can gets kicked again. Here comes the experts to make everything right!

Senate passes Puerto Rico debt relief bill
By Peter Schroeder – 06/29/16 07:22 PM EDT

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The Senate late Wednesday approved legislation to address Puerto Rico’s growing debt crisis, stepping in to help the ailing territory just ahead of a daunting deadline.

By a vote of 68-30, senators cleared a bill that would let the island restructure its massive debt load, while establishing an outside control board to police its troubled finances.

The bill now heads to President Obama, who has been a vocal proponent of the measure and is expected to sign it in short order.

The measure will become law just in time, as Puerto Rico is facing a default on $2 billion of debt payments Friday. The default would be the largest yet for the troubled island, and was expected to unleash a torrent of messy litigation without congressional action.

The Senate-passed bill would halt any potential litigation between the island and creditors, and allow outside officials to step in and try to steer towards a more organized resolution.

The bill’s passage marks a rare achievement for the White House and the leadership from both parties in both chambers. The top Republicans and Democrats in both the House and Senate threw their support behind the measure, and urged their colleagues to back the measure.

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Jim Sinclair’s Commentary

Brexit has only started, it is not behind us as MSM might like you to believe.

“Billionaire Investor George Soros Warns of EU Dissolution Amid Brexit
Geoff CADDICK

Disintegration of the European Union (EU) is possible and practically inevitable after the United Kingdom (UK) voted for the exit from the EU, known as Brexit, billionaire investor George Soros said Saturday.

MOSCOW (Sputnik) — On Thursday, the United Kingdom held a referendum to determine whether or not the country should leave the EU. According to the final results, 51.9 percent of voters, or 17.4 million people, decided to support Brexit, while about 16.1 million opposed it.

“Now the catastrophic scenario that many feared has materialized, making the disintegration of the EU practically irreversible,” Soros has written in a commentary on the website Project Syndicate.

While the consequences of Brexit for the UK can be such that the “UK itself may not survive,” according to Soros, “the implications for Europe could be far worse.”

On Tuesday, world-renowned economist Soros predicted that Brexit would be a catastrophe for the UK economy, stressing that the pound would drop by 15-20 percent, and his estimations appeared were confirmed following the referendum.

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Posted at 12:13 PM (CST) by & filed under In The News.

Jim Sinclair’s Commentary

Please listen to this presentation because it encapsulates what Bill Holter and I have been saying for generations. The time is now. The people coming out of their MSM induced coma now will not be moved by market camouflage. They cannot care less as they have never owned a security or commodity. No politician can deny and convince others in that state of denial that the system is totally broken.

The sheeple are waking up, and the grounds of political, economic and social order is shaking. It cannot be stopped.

This man who is free of filters is joy to hear.

Nigel Farage tells MEPs: You’re not laughing now

He was jeered as he addressed the parliament during an emergency debate on the UK’s vote to leave the EU.

Mr Farage, who was jeered by some MEPs, said EU politicians were “in denial” about the eurozone and migration.

EC president Jean-Claude Juncker asked Mr Farage: “You were fighting for the exit, the British people voted in favour of the exit. Why are you here?”

Mr Juncker said the will of the British people must be respected, but said the Leave campaign had “fabricated reality” with some of its claims.

“Isn’t it funny,” Mr Farage said.

“When I came here 17 years ago and said I wanted to lead a campaign to get Britain to leave the Europeans Union, you all laughed at me.

“Well you’re not laughing now.”

He called for a “grown up and sensible attitude to how we negotiate a different relationship”, and declared: “Most of you have never done a proper job in your lives.”

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Alan Greenspan: Scotland Will Leave the United Kingdom
9:47 AM EDT June 27, 2016

Former Federal Reserve Chairman Alan Greenspan talks about Scotland’s desire to leave the United Kingdom following the Brexit referendum. He speaks with Bloomberg’s Tom Keene and Michael McKee on “Bloomberg ‹GO›.” (Source: Bloomberg) 

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Jim Sinclair’s Commentary

This is a process whereby an exchange moves from a futures exchange to a cash exchange. Be prepared for margin levels to rise to levels you never even considered.

CME Group Increasing Margins For Comex Gold Futures
Monday June 27, 2016 08:50

(Kitco News) – Margins will rise for Comex gold futures at the close of business on Monday, according to a notice from exchange operator CME Group.

In the case of the main Comex gold contract, the margin for new speculative positions will rise to $6,050 from $4,950. The maintenance margin for existing speculative, plus all hedge positions, will rise to $5,500 from $4,500.

Margins act as collateral on trades in the futures market. CME Group said the increase was “per the normal review of market volatility to ensure adequate collateral coverage.”

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Jim Sinclair’s Commentary

Well, sort of.

Greenspan Just Recommended Return to Gold Standard

9:50AM Update: Greenspan says the next unexpected U.S. economic move will be on the inflation side and “although we don’t have inflation now, you don’t have it until it’s there”.

Greenspan also called U.S. entitlements the “third rail” of American politics “you touch it and you die“. He said the “whole entire U.S. Presidential election should be about entitlements”, but all of the candidates will be afraid to discuss it.

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Original Post:

Former Federal Reserve Chairman Alan Greenspan was just a guest on Bloomberg news and recommended that the U.S. return to a gold standard! He then said, “if people call me a gold bug, they should ask themselves why do central banks own gold now?!” 

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Jim Sinclair’s Commentary

Brexit will not go away no matter how hard MSM proclaims and Financial TV pleads.

The End Game Of Bubble Finance — Political Revolt
June 27, 2016

During Friday’s bloodbath I heard a CNBC anchor lady assuring her (scant) remaining audience that Brexit wasn’t a big sweat. That’s because it is purportedly a political crisis, not a financial one.

Presumably in the rarified canyons of Wall Street, politics doesn’t matter much. After all, when things get desperate enough, Washington caves and does “whatever it takes” to get the stock averages moving upward again.

Here’s a news flash. That’s all about to change.

The era of Bubble Finance was enabled by a political abdication nearly 50 years ago. But as Donald Trump rightly observed in the wake of Brexit, the voters are about to take back their governments, meaning that the financial elites of the world are in for a rude awakening.

To be sure, the apparent lesson of the first TARP vote when the bailout was rejected by the House in September 2008 was that politics didn’t matter so much.

Wall Street’s 800 point hissy fit was all it took to prostrate the politicians. Indeed, the presumptive free market party then domiciled in the White House quickly shed its Adam Smith ties and forced the congressional rubes from the red states to walk the plank a second time in order to reverse the decision.

There was a crucial predicate for this classic crony capitalist capture of the authority and purse of the state, however, that should not be overlooked. Namely, that in the mid-cycle period of the world’s 20-year experiment in central bank driven Bubble Finance the rubes had not yet come to fully appreciate that they were getting the short end of the stick.

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Jim Sinclair’s Commentary

Don’t expect your copy in the mail of a blog publishing the entire report on the internet.

Benghazi panel offers new details on attack in 800-page report
By Julian Hattem - 06/28/16 08:54 AM EDT

The House Select Committee on Benghazi is offering new details about the fatal 2012 attack in an 800-page report that criticizes the Obama administration’s response and offers new fire against Hillary Ciinton.

The report, after more than two years of work and $7 million in expense, does not fundamentally alter the public’s understanding of the attacks, which left four Americans dead and have simmered throughout President Obama’s time in office.

But the analysis includes new facts sure to be seized upon by the administration’s critics, and which are likely to serve as points of attack against Clinton during the general election.

Among the new revelations is the notion that Ambassador Chris Stevens, who along with three other Americans was killed in the attack, was in Benghazi with the aim of erecting a permanent diplomatic post, to replace the temporary one that came under fire.

Military orders also appeared to have gotten lost or misinterpreted on their way down the chain, the report claims. And the Libyan forces that eventually evacuated the surviving Americans from the CIA annex were in fact former loyalists of deposed strongman Moammar Gaddafi, and not militia groups with a previous relationship with the U.S.

In the Sept. 11, 2012, attacks, Stevens and State Department information management officer Sean Smith died when their diplomatic compound came under attack. Former Navy SEALs Glen Doherty and Tyrone died from mortar fire hours later, at a nearby CIA annex.

Scrutiny over the terror attack has dogged the Obama administration for the last four years, and in the process has become a byword for scandal on par with Watergate.

Critics suspect the Obama administration of having turned a blind eye to security, failing to come to the victims aid and then misleading the public in the aftermath.

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Jim Sinclair’s Commentary

Safety is an illusion by which the public happily surrenders their constitutional rights.

THE SECURITY FIRM THAT EMPLOYED THE ORLANDO SHOOTER PROTECTS AMERICAN NUCLEAR FACILITIES
By Eric Schlosser
JUNE 27, 2016

How could the world’s largest private security firm employ an armed guard who, for almost a decade,angrily and openly threatened to commit mass murder?COURTESY YOUTUBE

Omar Mateen, the killer responsible for the carnage at the Pulse night club in Orlando, two weeks ago, began training to become a corrections officer during the fall of 2006. He worked at a prison in Indiantown, Florida, while attending a correctional academy at a community college. His training didn’t last long. In April, 2007, the Florida Department of Corrections “administratively dismissed” Mateen, and he was kicked out of the academy. Mateen had felt slighted for being a Muslim, warned that a massacre like the one at Virginia Tech could occur at the academy, and talked about shooting his classmates at a school cookout. Administrators worried that he might show up on campus with a gun. Five months later, he was hired by G4S Secure Solutions USA, Inc., to work as an armed security guard. He obtained a license to carry a concealed weapon and, over the years, fulfilled various assignments for the company. At the St. Lucie County Courthouse, where G4S had a contract, one of Mateen’s tasks was screening visitors for guns.

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Posted at 11:21 AM (CST) by & filed under Jim's Mailbox.

Jim/Bill,

This is exactly what you gentlemen have been espousing for quite some time now.

“So, with a NET position of 180,000 contracts short and with every contract representing 100 ounces of paper gold, the paper losses to these Banks for every $10 move in the gold price amounts to about $180,000,000. Multiplying that out…When gold was up nearly $100 early Friday, these Banks were on the losing side of a $1,800,000,000 move. Even for the likes of JPM et al, that’s a lot of fiat!

So, what did they do? Like any arrogant and addicted gambler, they doubled-down!”

The corrupt, illegal practices of the Comex in manipulating gold and silver, vis a vis the bullion banks and unlimited naked shorting to cap prices.

CIGA Wolfgang Rech

Onward Toward Bullion Bank Collapse
by Sprott Money
Jun 28, 2016 5:40 AM

The events of Friday not only speed the eventual collapse of the Bullion Bank Paper Derivative Pricing Scheme, they also highlight the fraud of this current system and shine light upon the utter desperation of these Banks to maintain it.

We’ve written about this countless times over the past six years. Here are just two recent examples:

In short, as a measure of controlling the paper prices of gold and silver, The Bullion Banks that operate on The Comex act as de facto market makers of the paper derivative, Comex futures contract. This gives them the nearly unlimited ability to simply conjure up new contracts from thin air whenever demand for these contracts exceeds available supply and, almost without exception, these Banks issue new contracts by taking the short side of the trade versus a Spec long buyer. Never do these Banks put up actual collateral of physical metal when issuing these paper derivative contracts. Instead, they simply take the risk that their “deep pockets” will allow them to outlast the Spec longs and, without the risk of having to make physical delivery, The Banks almost always win. Eventually, an event like the runup to the Brexit vote or all of the Fed Goon jawboning of May will spook The Specs into selling and this Spec selling is used by The Banks to buy back (cover) their ill-gotten naked shorts and lower total open interest back down. (If you’re confused by this, please click the second link listed above for a more detailed explanation of this process.)

How this influences price is simple. If the supply of the paper derivative futures contract was held constant on a daily basis, then price would have to rise or fall based upon simple supply/demand dynamics. When the amount of buyers exceeded sellers, price would have to rise to a point at which existing owners would be willing to sell. But this is NOT how the Comex futures market operates! Because the market-making Banks have the ability to create new contracts from whole cloth, they can instead flood the “market” with new supply whenever it’s necessary. This mutes potential upside moves by imparting fresh new supply for the Spec buyers to devour. Price DOES NOT have to rise to a new, natural equilibrium. Instead, price equilibrium is found where demand meets this new supply.

As a case in point, simply study the “market” impact on gold “prices” in the hours that followed the Brexit decision in the UK. As turmoil shook the global markets, gold shot higher and, at one point, was up nearly $100. However, within hours it had given back nearly half of those gains and then spent the remainder of the day in an unusual and very tight trading range while virtually every other “market” was rocked with volatility throughout the trading day. See below:

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Jim/Bill,

What you say Druck?

‘It’s actually what legendary hedge fund manager Stanley Druckenmiller, who historically has never been a really big gold investor, was talking about at the Sohn Conference in May. 

“My hint is what is the one asset you did not want to own when I started Duquesne in 1981? It’s traded for 5,000 years and for the first time has a positive carry in many parts of the globe as bankers are now experimenting with the absurd notion of negative interest rates. Some regard it was a metal. We regard it was a currency, and it remains our largest currency allocation,” Druckenmiller said.

Pal, a Goldman Sachs alum who also ran GLG’s macro fund, thinks owning both the dollar and gold is “very attractive.” He added that the downside is “very limited” given that traditionally when the dollar goes down, gold goes up. The upside is that they both go up.”

I always like “win/win” situations.

CIGA Wolfgang Rech

Gold is sending a dark sign that ‘almost everything has changed’ in the market
Investors need to be paying attention to the move in gold and the US dollar, Raoul Pal and Grant Williams, cofounders of Real Vision Television, both said.
By Julia La Roche
Tue, Jun 28, 2016, 9:16AM EDT

Gold and the US dollar are no longer behaving normally and it’s crucial that investors pay attention to this move, Raoul Pal and Grant Williams said during a discussion about the Brexit on Real Vision Television—a subscription financial news service they cofounded.

Gold is widely considered a hedge against the US dollar. When the dollar falls in value, gold prices often rise. However, this relationship has been breaking down.

Pal, a former macro fund manager and author of the research letter “The Global Macro Investor,” recently said that a dollar rally along with a gold rally is “a sure sign that almost everything has changed.”

Williams, the author the research letter “Things That Make You Go Hmmm,” agreed that it’s a “sign that there’s some move toward an end game of sorts.”

Following the stunning Brexit vote last week, investors simultaneously piled into gold and the US dollar, which are both considered safe-haven assets in the international financial markets. Both gold and the dollar have rallied.

For gold and the dollar to move in the same direction is not normal. It’s actually a sign of uncertainty or financial stress.

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