Jim’s Mailbox

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Courtesy of JB.

Jim

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J. Johnson’s latest, courtesy of JB.

Jim

The Time For Surprises Is Upon Us
June 14, 2018

Good Morning America!

We start our “day after” the FOMC data release with Gold trading higher with its current price at $1,311.40, $10.10 higher than the close in between an early morning high of $1,313 and a low of $1,301.00 sometime before 6am pst. Silver is up as well with the current price at $17.27, up 27.4 cents with a high at $17.350 and a low of $16.965 as we see a positive push in value on a day normally used to suppress precious metal prices. Since rates were raised again, the support for the dollar increases with the current price at 93.90, 20.1 points higher and, as usual, close to the high of 93.970 so far today.

Silver’s Open Interest in the delivery cycle now stands at 8 contracts. This is an increase of 5 contracts from yesterday’s quote but today, we have a volume of 18 in the delivery month so far which means, there is more movement going on. Silver’s over all OI dropped a little bit more with the total now at 228,884 a loss of some 1,473 contracts held overnight. The pressure is building as we now focus on the Triple Witch Week phenomena in which roll overs and banker inventory’s are all tallied as we drop out of June currency contracts and roll into Septembers. Another key note is the July Silver Options expiration date is June 26th. Normally, the precious metals take a beating during this time period and since there is nothing to resemble the “old norm”, imo, anything can happen in the new “not so norm”. Harvey Organ and Sprotts – Craig Hemke reports have been stellar honing in on the EFP’s and has been very helpful to all those willing to dig to understand what is not being reported by the investment gurus of lame stream media. Imo, the time for surprises is upon us, and these deep rooted forensic accounting audits will be used in almost all cases regarding the frauds in banking and the international thefts of the nations wealth, in the very near future.

The Crypto market may have “stopped the drop” as we see the top 10 all showing green across the board with Btc (#1) trading at $6,499, up $41, Ethereum’s (#2) trade now resides at $486.68, up $6.93, and Litecoin’s (#6) last trade is at $97.48, up $1.49

We are now seeing central bank responses popping up everywhere after our FOMC data was released as the ECB is now claiming to stop QE-ing (freely printing digits to stay in their failing trades) along with Japan using the words “Taper – Cuts Bond-Buying” (the meanings are exactly the same). Of course these bankers will say anything but the truth as we wait to see what is happening to Deutsche Bank and the court cases on precious metals manipulations as well as the unsettled movements in Italy. The most recent stories seem to focus only on unwanted migrants flooding in, but the arguments are all about Italy’s uncollectable debt and the vote of the people vs. their European Union Representatives who can care less about the population or what they want (for now).

This side of the world has intrigue as well with the IG report due out today on the presidents birthday which will give us about 500 pages to read on the criminals (hired to protect us from?) activity inside our government. Apparently, good ol’ Mueller Appears to Have Screwed Up by ‘Accidentally’ Exposing Names in the Manafort Case. In my line of thinking, “accidentally” really means “intentionally” to a supposed professional government employee who has been doing his job for how long now?

The world is changing at an accelerated pace but not as fast as our presidents speed. One has to wonder about the most recent events like the N.Korean denuking deal which was started back in April with no insider news leaks present. Does this mean the Trump White House plumbing repair job was successful in stopping all leaks? How about the latest FOMC meeting? Did the other central banks know or was their response a reaction? Answers will come later, but for now, HODLING precious metals seems to be the most sane thing to do. So stay close to your metals, and as always…Stay Strong!

J. Johnson

 

Jim/Bill,

Walking through headlines today is like walking through a minefield in Afghanistan.

Americans On Unemployment Benefits Drop To 45 Year Low

Yes, a 45 year low may well be true.  But why?

If all those unemployed run out of benefits, then they drop off the rolls but are still unemployed.

Just no accounted for.

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It’s been reiterated many times that 102 million Americans are now no longer in the workforce.

In other words, if you are not gainfully employed, or collecting benefits, you no longer exist.

CIGA Wolfgang Rech

Americans On Unemployment Benefits Drop To 45 Year Low
June 14, 2018

For the first time since November 1973, there are less than 1.7 million Americans claiming jobless benefits…

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And while ‘everyone’ will proclaim this an Obama victory, we note that the pace of the collapse in unemployment rolls has accelerated dramatically as Trump’s reign has continued…

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No big hamburger, and what does it matter now?

Courtesy of JB.

Jim

Court Sets Hearing on Motion to Compel Email Testimony from Hillary Clinton
June 13, 2018

Hearing in Judicial Watch Lawsuit Set for October 11

(Washington, DC) – Judicial Watch announced a federal court ordered a hearing for Thursday, October 11, 2018, on a motion to compel testimony about the email practices of former Secretary of State Hillary Clinton. The order was issued by U.S. District Court Judge Emmet G. Sullivan.

The development comes in a Judicial Watch Freedom of Information Act (FOIA) lawsuit about the controversial employment status of Huma Abedin, former Deputy Chief of Staff to Clinton. The lawsuit, which seeks records regarding the authorization for Abedin to engage in outside employment while employed by the Department of State, was reopened because of revelations about the clintonemail.com system (Judicial Watch v. U.S. Department of State (No. 1:13-cv-01363)).

In 2016, Hillary Clinton was required to submit, under oath, written answers to Judicial Watch’s questions. Clinton objected to and refused to answer questions about the creation of her email system; her decision to use the system despite warnings from State Department cybersecurity officials; and the basis for her claim that the State Department had “90-95%” of her emails. Judge Sullivan is considering Judicial Watch’s motion to compel answers to these questions.

In her responses sent to Judicial Watch and the court on October 13, 2016, Clinton refused to answer three questions and responded that she “does not recall” 20 times concerning her non-government clintonemail.com email system. She preceded her responses by eight “general objections” and two “objections to definitions.” The words “object” or “objection” appear 84 times throughout the 23-page document submitted to the court and Judicial Watch.

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Courtesy of JB.

Jim

Do FBI emails ruin official Clinton timeline?
June 13, 2018

 

Jim/Bill,

All coming to head.

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Trade wars, old fashioned military wars, all markets at historical highs, gold repatriation, EU breakdown, China’s recessionary collapse, etc.

It’s beginning to make sense now.

CIGA Wolfgang Rech

Global Earnings Recession All But Certain As World Trade Weakens
June 14, 2018

Authored by Adem Tumerkan via Palisade-Research.com,

Markets have rallied into summer. The mess in Italy – which hasn’t resolved itself at all – is yesterday’s news.

Within the last two weeks, the VIX is down 35% – investors’ fears are essentially gone.

If you turn on CNBC, you’ll see that the U.S. ‘goldilocks’ economy’s intact, and big names like Larry Kudlow – Trump’s Top Economic Advisor – stating that the U.S. could hit 5% growth.

But, if you take the contrarian approach and do some digging yourself, you’ll see things are deeply troubling – especially with global earnings. . .

Last month, I wrote about the alarming signal coming from the little-used-but-highly-accurate South Korean Export Growth (SKEG) Indicator. It’s telling us that there’s a global earnings recession right around the corner.

Over the last 25 years – the SKEG has preceded each boom and each bust in global earnings. That’s because it’s a leading-indicator – meaning it’s a measurable economic element that changes before the economy starts to follow the trend.

The SKEG is a valuable tool for us to gauge where global earnings are headed.

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Courtesy of Dave.

Bitcoin’s Skyrocketing Growth Was ‘Fraud And Manipulation’ – Report
June 13, 2018

The record growth in bitcoin last year was actually a coordinated market manipulation, according to recent research by University of Texas Finance Professor John Griffin.

Griffin, who has 10 years of experience in detecting financial fraud, examined millions of transactions on cryptocurrency exchange Bitfinex. In his paper, Griffin says that the US dollar-pegged cryptocurrency tether was used to buy bitcoin at the times that the latter was falling, which helped “stabilize and manipulate” the cryptocurrency’s price.

“Fraud and manipulation often leave footprints in the data and it’s nice to have the blockchain to track things,” Griffin told CNBC. Whenever bitcoin fell, tether was used to buy it to prop up the price of the leading crypto.

“It was creating price support for bitcoin and, over the period that we examined, had huge price effects,” Griffin said. “Our research would indicate that there are sophisticated people harnessing investor interest for their benefit.”

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CIGA Werner sends us clear evidence of “excess”.

Bill

Excesses At The Top
June 5th, 2018

Excesses are signs of economic tops.  They readily appear in stocks, real estate, and art.  If inflation is running amuck, gold and silver can see excesses.  Right now, though, we can be certain that there are no excesses in the metals.

Stocks are just off their all-time highs, and stock perma-bulls are confident that continuing to “buy the dips” is the right strategy.  Yet stocks have not topped their January highs and the moving averages (MAs) are starting to converge.

If the 50-day MA drops through the 200-day MA, that is the “death cross,” which often has signaled the end of stock bull markets.  In March, the spread between the 50-day MA and the 200-day MA on the Dow Jones Industrials exceeded 1,750 points.  Now, the spread has narrowed to less than 400 points.  The death cross usually sets off selling by investors who follow technical indicators.

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This is not sustainable! Hence why gold (and especially silver) is breaking out!

GG

COMEX EFP Use Continues To Surge – Craig Hemke- (12/06/2018)
June 12, 2018

Back in April, we first reported upon the surge in the use of “Exchanges For Physical” on the COMEX. We thought we should provide an update today.

As a refresher, here’s a link to the first report from eight weeks ago:

Recently, it was reported that Chris Powell of the Gold Anti-Trust Action Committee (GATA) had requested action and an investigation into this process from the U.S. Comptroller of the Currency, Joseph Otting. Below is a link to Chris’ letter, but note that Chris reports he has yet to receive any acknowledgment from the Comptroller’s office. This, despite the fact that the letter was dated five weeks ago!

So, again, why is this important to gold investors? Simply put, the increasing use of EFPs on the COMEX is very likely a sign of physical demand stress within the digital derivative pricing scheme. Why? Consider the sheer size of the EFP activity.

At Eric Sprott’s urging, on November 24, 2017, we first began to monitor the increasing daily totals of Exchanges For Physical. As noted in our previous post, the best explanation of this process can be found in this link from 2009 with the key excerpt posted below:

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That is why these the citizens of these countries should buy gold and silver! It’s the only way to preserve their power!

GG

“I Would Recommend You Panic” – Peso Pounded, Lira Lashed, & Rand Routed As EM Crashes
June 14, 2018

The big headline maker of the day so far is not stocks but the FX markets as the dollar index exploded to 8-month highs (second biggest daily gain of the year) after a dovish Draghi sent EURUSD tumbling…

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This is actually the highest close for the dollar since July 2017…

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And despite numerous interventions, promises of intervention, and threats – Emerging Market FX was a bloodbath…

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