Posted at 9:07 AM (CST) by & filed under In The News.

J. Johnson’s Latest – The Resolute’s Pinnacle during the Triple Witch Week
June 14, 2019

Great and Wonderful Friday Morning Folks   

      We start our Friday off in a good tone hoping that by the end of Comex trading, things get even better with Gold now trading at $1,358.40, up $14.70 after reaching up to $1,362.20 with the low starting point of $1,345.70. Silver is still following with its trade at $15.05, up 15.8 cents and right beside its high of $15.065 with the low at $14.885, the start of last night’s reopening. The US Dollar is up as well trading at 97.12, adding 12.1 points of value with the high at 97.19 and the low at 96.94. All of this activity happened way before 5 am pst, the Comex open, the closing of trade in London, and the last day before we start the Triple Witch Week Watch.

     Our Emerging Markets Currency watch now shows Gold trading under the Venezuelan Bolivar to be at 13,567.02, a whopper of a gain at 179.77 Bolivar with Silver now at 150.312, gaining 2.497 Bolivar in the overnight. Argentina’s Peso now has Gold priced at 59,108.48, dig this, a gain of 588.83 Pesos with Silver gaining 8.862 Pesos in the overnight with the price at 654.948. Turkey’s currency, the Lira, now has Gold priced at 8,008.59, gaining 152.69 with Silver gaining 1.9505 T-Lira showing all three emerging market currencies to be pushing precious metals higher and higher, until they hit the primaries, which in turn will be sending precious metals into movements under our currency. This is what I live for!   

       June Silver’s delivery demands are still stymied with the count stuck at a lonely 1 and with zero volume on the board so far this morning. The last time any physical Silver was purchased was at $15 two Monday’s ago with no other purchases of physical afterwards, showing us this last dip in price was all paper giving a better deal but with no takers. That is something else! Silver’s Overall Open Interest is still showing gains as the Overall Count added another 2,784 more shorts to the trade in order to keep Silver from exploding any higher with the total count now at 232,975 Overnighters, as not only the Shorts keep adding to their almost “never failed before” trading strategy, the Resolute Longs are doing the same. This is truly a Resolute Pinnacle, the day before the Triple Witch Week and Currency Rollover (this Monday).     

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Posted at 7:14 AM (CST) by & filed under Bill Holter.

Originally posted for subscribers on January 4, 2017

By now you should already know the story behind the gold/silver ratio and why silver is the compelling buy of the two. The ratio is currently about 82-1 (it takes 82 ounces of silver to purchase one ounce of gold). Silver is found in the Earth’s crust at roughly 10-1 versus gold, let’s call this “God’s ratio”. Were the ratio to reach 10-1, silver would thus outperform gold roughly 8 fold. 10-1 may or may not be a stretch but suffice it to say that silver should certainly outperform gold in the coming bull market. Let’s call this anomaly #1,

If you understand the above then you understand you should be more heavily weighted in silver versus gold. But what “form” of silver should you own? Your choices are ETF’s or pooled accounts (a very poor choice as the metal may not even exist and all you own is a worthless piece of paper), bars, generic rounds, foreign sovereign mint coins, or US mint lineage coins.

Bars in my opinion are the worst possible form of physical ownership. I say this because they are the easiest to counterfeit and larger bars such as 10, 100, and 1,000 ounce bars are just too large for any utility. You may have originally purchased these because they were the “cheapest” but they are the cheapest for a reason which we will get to shortly. The potential counterfeit issue also exists for one ounce rounds. We have not seen this yet but rest assured that once the price of silver rises significantly, counterfeit silver will become a very real issue.

About a year ago, Jim spoke to the issue of potential gold (and silver?) confiscation. He believes this will eventually occur and gold/silver not issued by the US Mint will be “illegal” to hold or trade. The way to protect yourselves is by holding US Mint lineage coins rather than bars, rounds, or foreign sovereign coins like Maples, Kangaroos, Philharmonics etc. This basically leaves you with two choices, either American Eagles or “junk”. Junk, meaning 1964 and earlier dimes, quarters, halves and dollars.

Junk is by far the best form of ownership for several reasons. First, they are “fractional” silver meaning they are broken down to less than one ounce. Each $1 face amount of 1964 and earlier coin contains .715 of one ounce. In other words, for every $1.40 in face amount, you have one ounce. So 14 dimes holds the same amount of silver as does an eagle, do you see the advantage here? In a system down scenario which is looking increasingly likely, dimes give you the potential of 14 transactions rather than just one with an eagle. In other words, if one ounce of silver is valued higher than something you are trying to trade for, how do you get change back?

Another reason why junk is superior is the counterfeit issue. Bars, especially the larger ones are easily counterfeited with obviously more incentive than once ouncers. The incentive to counterfeit dimes or quarters is obviously less than one ounce AND, these old coins must show wear and tear because they circulated and were used for years. Unless it is a slabbed and graded coin, it better be worn somewhat, otherwise you are probably looking at a fake.

The last reason and we will call this anomaly #2 is “price”. Over many years, junk normally carried the highest premium of all forms of silver and generally equal to or higher than eagles. If you look back 4+ years ago, dealers were bidding $4-5 over spot for junk! Typically, and due to surcharge by the mint, eagles carry about $2.50-3.00 premium over spot. This premium does move up and down but not normally by much. The reason junk normally carries the highest premium is twofold, it is “fractional” and has not been supplied (nor will it) since 1964.

With the above in mind as to why junk is the best form of ownership, current premium is roughly $1.25-1.50 over spot (and currently rising) which allows an opportunity. Currently you can trade silver eagles for junk and end up with more silver ounces. If you trade Canadian maples or some other sovereign mint coins, you can do the trade even up and lose no ounces but end up with a better form of ownership. Swapping bars or generic rounds can be done at a small deficit but is very wise in my opinion as junk premiums will eventually normalize with junk being the highest valued form of ownership.

If the above makes sense to you and you want to consider a swap, or if you just want more information, please contact me. I believe the current anomalies will not exist for very much longer and the time to reposition is here and now. I am posting this for subscribers only at this point and will make this article pubic in a week or two. Once the pubic gets wind of this opportunity, I can envision junk supply being cleaned up and premiums moving higher and above all other forms of silver ownership. The time to reposition is now!

Standing watch,

Bill Holter

Holter-Sinclair collaboration

Posted at 1:14 PM (CST) by & filed under Jim's Mailbox.

Jim/Bill,

Yra has summarized the impending Dollar decline perfectly.

“I have cautioned for several years that it is not INFLATION that is the impetus for a GOLD rally but investor fears about central banks losing control of monetary policy in a fiat currency world.”

Inflation, as we have all experienced in the past, brings with it significantly higher prices.

But a loss of faith in fiat currency brings hyperinflation, something we have never experienced.

We will witness an impeding tsunami of rising prices in ALL commodities…gold, silver, copper, nickel, and all the others.

What you won’t see anymore is the trite phrase “Keep the Change”.

That “Pot of Gold” is sitting right under your nose.

 

 

 

 

 

 

 

 

Those coins in your pocket will amaze you.

Unlike paper fiat, it’s not economically feasible to remove coins from circulation and replace them.  Even so, their inherent base value will drive them out of circulation.

Remember Gresham’s Law…bad money drives out good.

CIGA Wolfgang Rech

Notes From Underground: Just When It Couldn’t Get More Volatile
June 6, 2019

The above reference is from the wonderful cult movie, Putney’s Swope. The CEO of a major advertising firm has a heart attack during a board meeting and the sycophants don’t realize it as they continue peppering him with questions. When he’s unable to respond they ask, “How Many Syllables, Mario?”

On Thursday, we will listen as the ECB holds its regular post-meeting press conference. You know, the one where President Mario Draghi pretends to answer questions about ECB policy. There will be NO CHANGE, especially since the EURO has recently rallied in response to a sharp drop in U.S. yields.

Also, on Tuesday the Reserve Bank of Australia lowered its overnight cash rate by 25 basis points to 1.25%, citing trade disputes and the increased uncertainty “affecting investment intentions in a number of countries.” The RBA was actually optimistic about the Aussie economy as they noted that employment has been strong and labor force participation improving but they chose to cut rates regardless of some positive domestic forces.

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Notes From Underground: Trump Has Weaponized The Dollar. Do the Longs Know?
June 12, 2019

Some shots were fired last Friday, but it seems that the markets can only hear the siren song of White House tweets. There was an important story from Bloomberg reporter Saleha Mohsin titled, “Trump’s Currency War Plan Puts Treasury and Commerce at Odds.” The article noted that “a Commerce Department proposal to impose countervailing tariffs on countries that it determines have devalued their currencies has alarmed officials at the Treasury Department.”

It appears that President Trump has grown frustrated by Treasury’s failure to name any country as a “currency manipulator.” It has been Treasury’s bailiwick to monitor the foreign exchange interventions of countries who strive to artificially hold down the value of their currencies in an effort gain a competitive advantage versus any G20 country, especially the U.S. (from the Treasury Department perspective).

Switzerland, Canada, the European Union and recently Australia all invoke their currency values as an important variable in setting monetary policy, but the Treasury has failed to label any of them as manipulators and seek retribution. It was Commerce Secretary Wilbur Ross at Davos in January 2018 who said, “And, unfortunately, every single day there are various parties violating the rules and trying to take unfair advantage. So trade wars have been in place for quite a little while; the difference is the US troops are now coming to the ramparts.”

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Posted at 9:51 AM (CST) by & filed under In The News.

J. Johnson’s Latest – Resolute Longs Keep The Precious Metals Strong!
June 13, 2019

  Great and Wonderful Thursday Morning Folks,   

      Even though the shorts tried to keep Gold from rising it continues to gain ground with August Gold at $1,340.40, up $3.60 after reaching $1,342.70 with the low at $1,335.90. Silver is higher as well with the trade at $14.80, 4.7 cents above yesterday’s Comex close after reaching up to $14.835 with a low we wish to never see again at $14.72. The US Dollar is trading at 96.925, down 4.5 points after dipping to 96.86 with a high at 96.985. All of this was done sometime before 5 am pst, the Comex open, and the London close.   

      Gold, under the Venezuelan Bolivar, is now at 13,387.25, rising 9.99 Bolivar with Silver at 147.815, continuing its gain by adding another 1.25 Bolivar in the overnight. In Argentina, the Peso has Gold priced at 58,519.65 taking back some of gains to the tune of 1,330.33 Pesos with Silver trading at 646.086 pulling back 14.166 Pesos. Over in Turkey, and under the Lira, Gold is priced at 7,855.90 adding 97.47 of value with Silver adding 1.194 of T-Lira value with its price at 86.7713, showing us 2 out of 3 emerging market currencies approve the holding of physical Silver and Gold. Ask your broker or pharmacist, if real physical Silver and Gold is right for you.   

      The June Silver Delivery System has been stymied since the last purchase was made over a week ago with the count stuck at 2 and with Zero Volume up on the board so far today. Commercial Signal Failure is what we’re looking for here in our Comex Silver market, and the only way that can happen is when the buyers take on the organized and algo control currency systems put in place in order to make currencies look better, but only on paper. Silver’s Overall Count continues to gain more shorts in order to stay the price with the count now at 230,191 Overnighters adding an additional 4,013 more shorts to the mix. What counts the most is who blinks first here, if that physical buyer comes in, it could be our boon, if so, these Resolute Longs will own the field of play and we’re off to newer highs. What could go wrong? The longs could panic first and we start again, rinse, wash, and repeat, until someone runs out of physical at these below all mining costs prices.

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Bill Holter’s Commentary

If you repeatedly lie and spread fake news, would you expect your ratings to go up? Maybe CNN should go back to basics and re learn what the definition of “journalism” is?

Nolte: Death Spiral Continues as CNN Loses One-Third of Primetime Audience
June 12, 2019

The far-left CNN’s ratings death spiral marched into last week as the fake news network lost one-third of its primetime audience and a breathtaking 55 percent of its demo viewers.

When compared to this same week last year,  CNN also lost 21 percent of its total day viewers.

How bad is this?

Well, you can’t blame a slow news week because not only was President Trump on an overseas trip, but as you will see, CNN stands completely alone with this massive audience implosion.

By comparison, in primetime, MSNBC and Fox News only lost four percent of their viewers compared to last year and seven and five percent of their total day viewers, respectively.

Let me lay this out for you as starkly as I can.

Primetime Viewership Compared to Same Week Last Year

Fox News: -4 percent

MSNBC: -4 percent

CNNLOL: -33 percent

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Posted at 9:33 AM (CST) by & filed under Jim's Mailbox.

Courtesy of Dismal Dave Down Under.

Jim

Could JPMorgan Chase Be Hit with a Fourth Felony Count for Rigging Precious Metals Markets?
June 11, 2019

By Pam Martens and Russ Martens

On September 25, 2013, after spending five years and 7,000 hours using taxpayers’ money investigating the potential rigging of the silver market, the Commodity Futures Trading Commission (CFTC) concluded that “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.” The investigation was provoked by multiple complaints asserting the market was rigged.

The CFTC is a Federal regulator that oversees the U.S. commodities markets. The U.S. Department of Justice (DOJ) is also a Federal agency and the only one that can bring a criminal case against firms and individuals who commit conspiracy and fraud in commodity and securities markets. (The Securities and Exchange Commission can bring only civil, not criminal, cases.)

On October 9 of last year, the DOJ used its criminal powers and charged John Edmonds, a former long-time employee of JPMorgan Chase, with one count of commodities fraud and one count of conspiracy to commit wire fraud, commodities fraud, commodities price manipulation and spoofing.

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Jim/Bill,

Soon, the paper price will be irrelevant.

Dave

Indian Gold Demand Surged In April And May
June 11, 2019

Via SchiffGold.com,

After a dip in demand in 2018, it appears Indians are buying gold again.

 

 

 

 

 

 

 

 

 

Anecdotal data seemed to indicate strong demand for the yellow metal in India during the Akshaya Tritiya holiday. Retailers reported sales were up by as much as 25%. As it turns out, demand was indeed strong. Gold imports into India were up 36% year-over-year in May, according to sources cited by Bloomberg.

India imported 105.8 tons of gold in May. That compares with just 77.6 tons a year earlier. Combined shipments of gold into the country during April and May came in at 226.6 tons. That was up about 74% from the same period in 2018.

 

 

 

 

 

 

 

 

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Posted at 9:29 AM (CST) by & filed under USAWatchdog.com.

June 12, 2019

By Greg Hunter’s USAWatchdog.com 

Financial writer and book author John Rubino is worried about record debt at every level of the economy. Rubino says, “The next recession is overdue because this is the longest expansion on record. . . . We loaded up car buyers with sub-prime loans. Students now have $1.5 trillion of student debt. Credit card debt is at record levels. Government debt is at record levels. Corporate debt is at record levels. . . . All of these guys have borrowed more money than they ever have in history. So, the idea we are going to convince people to borrow a lot more money by lowering interest rates is at best problematic and at worst insane. We are headed that way because they have no other tools. So, when things slow down, they are going to start cutting again and printing money and buying up assets with that money.  We’ll see if it works again. It shouldn’t have worked the last time. . . . We are in a range of unexplored numbers. . . . How much further can this go? Is there a limit out there? We are going to find out in the next recession.”

Rubino is not impressed with the Federal Reserve’s latest promise to slash interest rates and print money to save a teetering economy. Rubino contends, “The markets ought to be terrified by this, but in the U.S. because the rates are not yet zero, the market is not yet terrified. We are not far from 0%. . . . The Fed can’t save us. We’re at the point now where we would be at a 1930’s style depression or a Weimar Germany hyperinflation or something new and equally bad. We have taken on insane amounts of debt, more than any society in history has ever tried to take on. So, we just don’t know what is going to happen. If the central banks cannot stop the next recession, we will find out what happens when this much debt goes bad. . . . The Fed’s biggest fear is that things will spin out of control, and they won’t have the tools to stop it.”

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Posted at 9:27 AM (CST) by & filed under In The News.

Bill Holter’s Commentary

She has been a Congressman for less than 6 months and demands a pay raise?  Would you expect anything less from a silver spoon socialist with bartender experience!  I hope she stays around for a while for laughs, even idiots know she doesn’t know…

Ocasio-Cortez Upset by Lack of Congressional Pay Raise
June 11, 2019

Rep. Alexandria Ocasio-Cortez (D-NY) is unsettled by the House Democrats’ decision to hold off pursuing a bill that would have provided members of Congress with a pay raise, tweeting Tuesday a lack of action will result in more corruption in Congress.

The cap on congressional salaries has been frozen for the last decade. Given the positive state of the Trump economy, House Democrats were considering unfreezing the cap on congressional salaries and resuming the previously automatic cost-of-living increases as part of a broader $1 trillion spending bill.

The move would have provided members of Congress with a $4,500 raise next year.

However, Democrat leadership decided to scrap consideration of the bill after rising concerns from other Democrats– particularly from freshmen Democrats in swing districts. Voting themselves a pay raise during an election year would look wildly out-of-touch, some political analysts warned.

“Nobody wants to vote to give themselves a raise. There’s nothing good about that,” Rep. Katie Hill (D-CA) said, according to Politico.

Rep. Joe Cunningham (D-SC) also opposed the move and told House Majority Leader Steny Hoyer on the floor that it was “bad politics and bad policy.”

Hoyer did not take a strong stance either way, previously noting that there is “never” an ideal time for Congress to give itself a raise.

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J. Johnson’s Latest – Resolute Longs are Still Holding the Trade!
June 11, 2019

Great and Wonderful Hump Day Morning Folks,   

      After 2 days of attempted Resolute Long Liquidation (in Ag), which has failed so far, Gold is still gaining ground with its trade at $1,339.40 gaining $8.20 after reaching as high as $1,342.30 with the starting point being the low at $1,329.80. Silver, the tag along kid, is still being dragged on a leash with its trade at $14.775, up only 3.5 cents after reaching up to $14.86 before more shorts were added as we see the attempt to make another British low as they try to send Silver below the low of $14.71, close to last night’s restarting point. The US Dollar, the fiat everything is gauged under, is showing a current trade at 96.72, up 7.5 points and close to the high of 96.735 after the low was reached at 96.545.    

      Gold, under the Venezuelan Bolivar is now trading at 13,377.26, jumping up 156.81 Bolivar in the overnight with Silver now at 147.565, it too being dragged by the leash and only gaining 1.348 Bolivar. Gold under the Argentine Peso is now gauged at 59,849.98 regaining more than double from yesterday’s quote with Silver now at 660.252 gaining 3.348 A-Pesos as the Ag trade leads Gold under this currency. The Turkish Lira has Gold pegged at 7,758.43 Lira, tripling more than yesterday’s loss with Silver now priced at 85.5773, only rising some .445 in T-Lira value.     

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Bill Holter’s Commentary

Gold is Paul Tudor Jones’ favorite investment over the next 12-24 months…

Gold Is Paul Tudor Jones’s Favorite Trade for Next 12-24 Months
June 12th, 2019

[VIDEO]

Posted at 2:18 PM (CST) by & filed under Jim's Mailbox.

Jim,

You told listeners this would be the outcome.

Dave

Pepe Escobar: The Unipolar Moment Is Over
June 10, 2019

Authored by Pepe Escobar via ConsortiumNews.com,

The Russia-China strategic partnership, consolidated last week in Russia, has thrown U.S. elites into Supreme Paranoia mode, and they are now holding the whole world hostage…

 

 

 

 

 

 

 

 

 

Something extraordinary began with a short walk in St. Petersburg last Friday.

After a stroll, they took a boat on the Neva River, visited the legendary Aurora cruiser, and dropped in to examine the Renaissance masterpieces at the Hermitage. Cool, calm, collected, all the while it felt like they were mapping the ins and outs of a new, emerging, multipolar world.

Chinese President Xi Jinping was the guest of honor of Russian President Vladimir Putin. It was Xi’s eighth trip to Russia since 2013, when he announced the New Silk Roads, or Belt and Road Initiative (BRI).

First they met in Moscow, signing multiple deals. The most important is a bombshell: a commitment to develop bilateral trade and cross-border payments using the ruble and the yuan, bypassing the U.S. dollar.

Then Xi visited the St. Petersburg International Economic Forum (SPIEF), Russia’s premier business gathering, absolutely essential for anyone to understand the hyper-complex mechanisms inherent in the construction of Eurasian integration. I addressed some of SPIEF’s foremost discussions and round tables here.

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Jim/Bill,

With all gold buying taking place, among nations, it is only a matter of time before the price must move much higher.

Dave

Bullion The Bully: Beijing Answers Trump’s Tariffs With Massive Gold-Buying Spree
June 11, 2019

China’s vast gold stockpile saw another boost in May, marking an ongoing increase for a sixth straight month, according to the latest data published by the People’s Bank of China.

Last month, the central bank raised its bullion reserves to 61.61 million ounces from 61.10 million in the previous month. As of the end of May, the nation’s stockpile was valued at $79.83 billion compared to $78.35 billion a month earlier. In tonnage terms that marks an increase of 15.86 tons, after almost 58 tons of gold were added over the five months through April.

In May, the country’s total foreign exchange reserves, the world’s largest, reportedly edged  0.2 percent, or $6 billion higher, reaching $3.101 trillion. The increase shifted the expectations of analysts polled by Reuters, who projected the reserves to drop by five billion to $3.090 trillion.

The latest boost to Beijing’s gold stash reportedly reflects China’s move towards diversifying its bullion and foreign currency holdings amid the protracted trade dispute with the US.

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Courtesy and authored by Clive Maund.

Jim

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