Posted at 5:34 PM (CST) by & filed under In The News.

Bill Holter’s Commentary

A Friday dose of Erik for you.

The United States Has No Leg To Stand On (On Ethics)_001

The United States Has No Leg To Stand On (On Ethics)_002

Bill Holter’s Commentary

Do you understand what this means? Please read this thoroughly twice and then sit down with your favorite adult beverage to ponder the ramifications…GOT GOLD?

Goldman Spots A Huge Problem For The Fed
May 15, 2020

Last week, the Treasury shocked the world when it announced that in the current quarter (the 3rd of the fiscal year), the US will need to sell a mindblowing, record $3 trillion (pardon, $2.999 trillion) in Treasurys to finance the US money helicopter.

Treasury issuance 5.4.2020_1

This, after selling $807 billion in the first half of the fiscal year, and another $677 billion in the quarter ending Sept 30.

And since it is just a matter of time before Congress has to pass yet another fiscal package which will be at least another trillion dollars, and up to $3 trillion if the Democrats get their wish, one can say that Guggenheim’s projection of over $5 trillion in debt issuance this calendar year will be wildly conservative.

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Posted at 10:17 AM (CST) by & filed under Jim's Mailbox.

Jim,

You have pointed this out many times now.

Dave

Evidence Suggests U.S. Financial Crisis Started On August 14, 2019
May 14, 2020

In the Federal Reserve’s most recent “Supervision and Regulation Report” on the big bank holding companies it “supervises,” the Fed continued its attempts to perpetuate the narrative that “The banking industry came into 2020 in a healthy financial position” and has simply unraveled as a result of the COVID-19 pandemic. That narrative is built on the same flimsy house of cards that the New York Times and Andrew Ross-Sorkin built the narrative that the mega banks on Wall Street were not responsible for the 2008 financial collapse.

The Fed is desperate to promote this narrative to stop a new Congress next year from holding hearings on why the Fed, for the second time in 12 years, had to engage in trillions of dollars in Wall Street bank bailouts after reassuring Congress for years that the financial system was fine as the Fed loosened or rolled back reforms like the Volcker Rule. The Fed needs this narrative to prevail in order to cover up its own negligent supervision of the behemoth banks.

Depending on the composition of Congress next year, those hearings might bring about not only a restoration of the Glass-Steagall Act (which bans trading houses on Wall Street from combining with federally-insured, deposit-taking banks) but might also put an end to the Fed’s ability to negligently supervise the big banks with one hand, while bailing them out with the other hand, using money it creates out of thin air. (The Fed will report its latest balance sheet tally today at 4:30. It is expected to be close to $7 trillion from the $6.7 trillion it reported last week – which is $2.8 trillion more than it was exactly one year ago. The growth in the Fed’s balance sheet has come as a result of efforts to prop up Wall Street banks.)

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Posted at 9:37 AM (CST) by & filed under General Editorial.

Great and Wonderful Friday Morning Folks,

     We start our early morning report with Gold and its confusions, with the June contract down 40 cents at $1,740.50 after reaching up to $1,748.90 with the low at $1,736.80. Today, finally, Silver is leading with the trade up 40.9 cents at $16.565 after hitting $16.705 with the low at $16.155. Par still surrounds the US Dollar, no matter how much is printed. How long this will last, is up to some Algo with the trade at 100.39, down 11.7 points after hitting a low at 100.195 with the high nearby at 100.420. Of course, all this happened already, after 2.2 trillion was created out of thin air, before 5 am pst, the Comex open, the London close, and after China’s bank HSBC taps the BOE for its GLD Bars.

      Gold under the Venezuelan Bolivar is now valued at 17,383.24 showing an increase of 193.75 Bolivar with Silver gaining 8.24 with the price now at 165.443 Bolivar. Argentina’s Currency has Gold’s value pegged at 117,608.46 giving our noble metal a 1,436.10 A-Peso gain with Silver showing a 57.33 A-Peso pop with the trade now at 1,119.44. Gold’s value under the Turkish Lira is now at 12,038.72 showing an increase of 49.74 Lira’s with Silver proving a gain of 4.926 T-Lira’s with its price at 114.556.

      May Silver Deliveries now has a Demand Count of 378 up on the board with a Volume of 23 so far today inside a trading range between $16.59 and $16.505 with the last trade at the low (what else is new for London?) up 36.9 cents. This proves an increase of 3 – 5,000-ounce contracts above yesterday’s tally which had a total Volume of 49 “swapping” contracts within a trading range between $16.12 and $16.005 with the last trade at the high with the adjusted close above that at $16.135 proving the demand had more action than the centrals could handle. The fear is showing up in the numbers behind the price again with Silver’s Overall Open Interest at 141,302 Overnighters. An increase of 4,718 paper shorts in order to keep Silver from doing more damage to the short traders’ accounts. Also, of note is the closing prices for the 2 front months in Silver suggesting a shortage of product in the eyes of us “old school traders” with May’s close at $16.136, with June’s close at $16.115, giving the delivery month a 2.1 penny premium in an Algo Controlled world. Let’s see how this unfolds.

      May Gold’s Demand Count now sits at 1,573 fully paid for contracts with an early morning trading range between $1,745.10 and $1,739.70 with the last trade at $1,742.30 and with a Volume of 591 already up on the board today. Yesterday’s final trading range inside the delivery month was between $1,743.10 and $1,720.50 with the last trade at $1,736.50 with the adjusted close at $1,738.10 ending with a Volume of 672. The Demand Count from yesterday to today increase by 478 – 100-ounce contracts for that barbarous relic that the centrals kept telling everyone is worthless. Gold’s Overall Open Interest is now at 520,235 Overnighters, proving an increase of 4,779 short contracts being added or else the price would have gone much higher.

     Whoever Mr. Resolute is (or how many there are), he keeps coming in and mucking up the Comex Stalls in both metals at a time when many mining facilities remain shuttered and for over 1 ½ months’ time. Our southern neighbor’s central bank, BOM cut rates ½% yesterday, as they too are having financial issues and are suffering from the CCP19 virus as this article claims 30 crematoriums across Mexico City are at full capacity. The truth about this airborne topic still needs honest vetting yet the media continues to be everyone’s enemy no matter where one turns. Who are they supporting after all? 

      The events of the week have been supportive for the precious metals. Gold is still, not that far away from making new life of contract highs and Silver seems to be ready to catch up. Reminder; Silver has yet to reach the 1980 high which Gold blew thru like a hot knife thru a bar of butter way back in 2011. So, we wait, with physicals in our hands and positive thoughts in the head, with a smile on our faces because, the controllers seem to be losing it. Have a great weekend, and keep the faith. With that we will always …

Stay Strong!

Jeremiah Johnson

More J.Johnson content is available with purchase of a JSMineset subscription.

Posted at 5:23 PM (CST) by & filed under In The News.

Bill Holter’s Commentary

We need more bailouts? Really? For those of you who believe “life” will ever return to what was considered normal…Do you understand what this chart has already told you?

image

Powell Warns Of A Possible Sustained Recession From Pandemic
May 13, 2020

WASHINGTON (AP) — Federal Reserve Chair Jerome Powell warned Wednesday of the threat of a prolonged recession resulting from the viral outbreak and urged Congress and the White House to act further to prevent long-lasting economic damage.

The Fed and Congress have taken far-reaching steps to try to counter what is likely to be a severe downturn resulting from the widespread shutdown of the U.S. economy. But Powell cautioned that numerous bankruptcies among small businesses and extended unemployment for many people remain a serious risk.

“We ought to do what we can to avoid these outcomes,” Powell said.

Additional rescue aid from government spending or tax policies, though costly, would be “worth it if it helps avoid long-term economic damage and leaves us with a stronger recovery,” he said.

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Posted at 9:20 AM (CST) by & filed under Jim's Mailbox.

Jim/Bill,

I thought the readers might like this article.

Dave

Meet the Fed’s Global Plunge Protection Team
May 10, 2020

The Dow Jones Industrial Average rallied 455 points by the closing bell on Friday. It seemed sadistic to average folks. One hour before the stock market opened, the Bureau of Labor Statistics had reported the worst U.S. unemployment figure since the Great Depression (14.7 percent) along with the staggering loss of 20.5 million jobs in just the month of April. Within the first half hour of trading, the Dow was up more than 300 points. It then added to those gains in afternoon trading.

None of the explanations offered by mainstream media to explain the incongruous stock trading were accurate. It was not because the stock market had anticipated worse or that the market was rallying because it thought the worst of the economic fallout was behind us. It was because the one emergency funding facility that the Federal Reserve has quietly ramped up more than any other, its Foreign Central Bank Liquidity Swap Lines, was working its magic on Friday.

To understand what happened on Friday, you need to understand what Fed Chair Jerome Powell was methodically setting in place in February.

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Posted at 8:59 AM (CST) by & filed under General Editorial.

Great and Wonderful Monday Morning Folks,

     June Gold’s price is close to the London low with the trade at $1,702.30 down $11.80 after hitting the low price of $1,695.20 before the bounce, with the high so far at $1,713.80. Silver is also doing the London dip with the trade at $15.605 down 17.3 cents and recovering from its low at $15.510 with the high so far at $15.92. The US Dollar is still parring around with the trade at 100.135, up 36.6 points-of-print and right close to the London high at 100.175 with the low that should be much lower at 99.690. Of course, all this can only happen overseas, when we’re asleep, before 5 am pst, the Comex open, the London close, and after the president of Mexico asked Trump questions about Obama and his group of Fast and Furious deflectors.

      In Venezuela, where Maduro’s drug runners are claiming we are the drug dealers and they are victims, and are now saying so in a fast and furious way, has Gold’s starting price for the week at 17,001.72 Bolivar showing a loss of 222.70 from Friday morning’s post with Silver at 155.855 Bolivar losing 1.758. Argentina’s Peso has Gold priced at 114,438.20 showing a Monday morning pullback of 1,300.88 Peso’s with Silver losing 8.7 Peso’s with the price at 1,048.93. The Turkish Lira’s pullback price for Gold is now at 12,047.15 Lira down 227.38 with Silver now at 110.441 losing only 1.736 T-Lira’s.

      May Silver’s Delivery Demands are now registered at 1,992 fully paid for contracts waiting for receipts and with no trades or Volume posted so far this morning. This proves a 4 point drop in the delivery count from Friday’s trading range between $15.80 and $15.50 with the last purchase at $15.555 and an adjusted close at up at $15.740 with a final Volume of 59. If it wasn’t for the allowance of more liquidity into the markets, Silver prices would be substantially higher than they are now as the Open Interest gained another 1,174 short contracts bringing the total to 138,257 Overnighters that keeping the prices controlled (for now).

      May Gold’s Delivery Demands are now at 2,383 fully paid for contracts and with a Volume of 647 up on the board with a trading range between $1,704.50 and $1,702.30 with the last purchase at $1,704 down $5.90 from Fridays close while the rest of the papers controlling the price is pushing the futures value much lower than they should be. Friday’s total Volume inside the delivery system reached 330 within a trading range between $1,728.90 and $1,703.80 with the adjusted close at $1,709.90 and reducing the Physical Demand Count by 994 contracts. Gold’s Overall Open Interest lost 3,575 Obligations with the total count now at 500,964 Overnighter’s as we wait it out.

      Q’s posts are still running full steam ahead as Obama and his anointed team seem to be the only ones the media allows to speak to defend their past actions. At this point, none of their televised interviews will matter anymore (imo) because we are heading towards a military tribunal as Q Post #4196 brings forth a time lined list of accusations made by the characters in the play who tried to remove a legally elected president. Please read the Q post and consider how long this is going to take in a televised military court room setting, as the evidence strips away the façade the media and this team of unelected henchmen and women created.

      When I was a kid, Mom and Dad made sure everyone was at home in time to watch the Watergate hearings in its entirety. The family unit made sure, dinner was served, dishes were cleaned, and everyone was sitting in front of the television every night, before the evidence was presented with the exception of the still missing 18.5 minutes of Nixon taped recordings. We watched all the way to the ending including that famous televised statement “I Am Not A Crook” which had little or nothing to do with the original accusations (a break-in, not stealing money). Let us consider what this elected official has done back in his day. He removed us from the Gold Standard and put us onto the Petro Dollar and he also opened the door to trading with China. Moving forward we now have an accused former candidate that seems to be channeling Chairman Mao in a pant suite. With Joe Biden being the one that the pant suite princess has endorsed to represent the DNC. Why the DNC supporters are not screaming that they should be the ones allowed to bring in a candidate via a majority vote, is beyond me.

      As we move forward, nothing will change the future direction of precious metals as the world gathers around, once again, to see the who/what/when/why/where of it all. As a reminder, Q posted back in 12/12/18 Yes. Gold shall destroy FED. How big is the meaning behind the word FED? Does it also include the removal of the Petro Dollar and bringing back the Gold standard? Let the future unfold as we observe and ponder it all. So, sit back and get ready for the evidence to be presented and hold on tight to the real, as things become clearer. Keep the faith, and have a smile on the face, and as always …

Stay Strong!

Jeremiah Johnson

More J.Johnson content is available with purchase of a JSMineset subscription.

Posted at 12:15 PM (CST) by & filed under Jim's Mailbox.

Jim,

You have been clear that the problem started in September.

Dave

Congress Sets Up Taxpayers to Eat $454 Billion of Wall Street’s Losses. Where Is the Outrage?
May 7, 2020

Beginning on March 24 of this year, Larry Kudlow, the White House Economic Advisor, began to roll out the most deviously designed bailout of Wall Street in the history of America. After the Federal Reserve’s secret $29 trillion bailout of Wall Street from 2007 to 2010, and the exposure of that by a government audit and in-depth report by the Levy Economics Institute in 2011, Kudlow was going to have to come up with a brilliant strategy to sell another multi-trillion-dollar Wall Street bailout to the American people.

The scheme was brilliant (in an evil genius sort of way) and audacious in employing an Orwellian form of reverse-speak. The plan to bail out Wall Street would be sold to the American people as a rescue of “Main Street.” It was critical, however, that all of the officials speaking to the media repeat the words “Main Street” over and over.

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