Posted at 8:46 AM (CST) by & filed under General Editorial.

Great and Wonderful Friday Morning Folks,

      Gold is doing it again, going higher 3 days in a row with June Gold at $1,757.80 up $12.60 and right close to the high at $1,760.20 with the low at $1,742.20. Silver, the red headed step child, is still being dragged along with the July contract at $15.625, up 9.9 cents with the high nearby at $15.655 and the low at $15.440. The US Dollar is still stuck under the support of the algos (not real trading) with the value pegged at 100.430, down 10.5 points after it rallied to 100.975 with the low nearby at 100.375. Of course all this was done, while we slept, before 5 am pst, the Comex open, the London close, and after one of the last surviving Mall Queens prepares for bankruptcy. These closures remind me of the days of Montgomery Wards and Zody’s which were around before the malls showed up, now it’s the malls turn, as we watch online shopping take over everything.

      Venezuelans are now paying 40.95 more Bolivars per ounce for Gold with today’s price at 17,556.03 with Silver buyers being charged less with the price at 156.055 Bolivar as 1.698 got shaved off its value. In Argentina, Golds price gained another 410.18 Peso’s with the trade at 116,507.91 with Silver losing 10.4 in A-Peso value with the price at 1,035.42. The Turks had to add another 60.71 Lira’s to yesterday’s price for Gold in order to buy an ounce with today’s price at 12,253.21 with Silver buyers getting an 0.896 T-Lira discount with the price at 108.918.

      April Silver Delivery Demands now show a post of 21 fully paid for contracts after yesterday’s total Volume reached 21 inside a trading range between $15.665 and $15.43 for the first 20 contracts, with the last single lot buy/sell at $15.36 with the Comex adjusted close at $15.348. So, what are we to believe here? Did those Resolute 23s magically get filled all at once after 5 days of waiting, as this new order got added, or is there more hanky panky behind the numbers and price? As of right now, there is no volume and no price to offer within the delivery system as we wait out the closing of the April Options this coming Monday, then the last trading day for the April delivery cycle hits Tuesday, with the First Notice day for the May contracts arriving on Thursday. The Shorts in Silver had to add another 1,329 more contracts in order to keep Silver from rising any higher yesterday, and in order to set up the futures price crush, once again, for Monday’s Options Expiration. Don’t you worry, just like negative Crude Oil, it’s all about the largest holders of positions and not the masses of traders the regulators cater to. The governing bodies are making sure this theft is legal as they look the other way till their paychecks get stopped, with the total count now at 143,088 Overnighters.

      April Gold Delivery demands now shows a count of 406 fully paid for contracts, proving 140 buy orders finally got receipts after yesterday’s trading range between $1,745.10 and $1,734.00 with the last buy order price at $1,741.40 yet the closing price was adjusted down to $1,733.30. As of right now, today’s Volume shows 67 more contracts got traded out with a singular price of $1,744.00. Gold’s Overall Open Interest gained another 743 short contracts in order to surprise us with Monday’s declines into the Options Expiration with the total count now at 498,956 Overnighter’s still in the trade. After watching this game as long as we have, I’m sure we all hope that one day, Mr. Resolute will step in on Options Expiration Day, and simply load up on the physical buys and bury or blow out the shorts. Wouldn’t that be a hoot?

      This game we are all forced to deal with, has been a challenge to say the very least. We have observed institutional manipulations using Algo’s to control the prices, as the thefts occur in all sectors of commodities and stocks. The game is coming to an end because the Algos and their government employed bodies can no longer hide behind anything, as they allowed physical products to trade into the negative by all the fake products, they claim have value. Nobody with a working brain is going to hold a debt instrument in conditions like these, with no one working, and in fear of not having a job going into the rest of the year. What about the Cattle Rancher or Pig Farmer, or the Soybean, Wheat, Corn farmers after they witnessed Crude Oil going negative? If they are on the wrong side of a futures hedge, they could seriously lose everything because an Invisible Enemy is inside the regulators who are suppose to make sure everything is fair. Not for one side of the trade but for everybody. Imo, it is right here that they have failed our nations investors, but not the companies these regulators came from.

      We even have a guy who claims to have the only computer program, that thinks his computers knows everything about the markets and thinks only he can save the world, and that the elected president should be listening to him because he has a stellar track record with many governments asking for his direction. Of course, his resume is lacking about 10 years of not working, when he was governed into an 8 by 10.

      Holding physical precious metals, with a nice supply of food, toilet paper, and ammo, is still the most comforting. We’re still waiting for the Market Makers to come up with all those negative options below Zero for petroleum, when all they really have to do is sell a Call or sell a Put and get the same outcome if the market goes below zero again, but don’t let that get in the way of their story. In the meantime, have a great weekend, keep that smile on your face with the knowledge that physical Silver and Gold is a hell of a lot safer than leaving your money in the hands of those that have computers that know better than you. Keep that smile on your face and a prayer in the heart and as always ….

Stay Strong!

Jeremiah Johnson

Posted at 9:29 AM (CST) by & filed under Jim's Mailbox.

JB,

And from whence will the funds come to pay for it all?

Your pal,

Jim

US Energy Secretary Dan Brouillette announces he has been authorized to expand the Strategic Petroleum Reserves to 1 billion barrels.
April 22, 2020

@ChanelRion

#BREAKING: US Energy Secretary Dan Brouillette announces he has been authorized to expand the Strategic Petroleum Reserves to 1 billion barrels.
Brouillette to meet with Congress today.
Current US oil reserve levels are at 713.5 million barrels.@OANN

Bill,
Who’d a thunk it…? 
CIGA Ron
Just one sentence?
Bill

Screen Shot 2020-04-22 at 2.44.19 PM

Jim,

You said retirees would work ’till they die…they are the most endangered species on the planet.

Dave

McConnell Says He Favors Allowing States To Declare Bankruptcy
April 23, 2020

Senate Majority Leader Mitch McConnell said Wednesday he favors allowing states struggling with high public employee pension costs amid the burdens of the pandemic response to declare bankruptcy rather than giving them a federal bailout.

“I would certainly be in favor of allowing states to use the bankruptcy route,” he said Wednesday in a response to a question on the syndicated Hugh Hewitt radio show. “It’s saved some cities, and there’s no good reason for it not to be available.”

The host cited California, Illinois and Connecticut as states that had given too much to public employee unions, and McConnell said he was reluctant to take on more debt for any rescue.

More…

Posted at 12:47 PM (CST) by & filed under In The News.

Bill Holter’s Commentary

Is your gold real or is it “virtual”?  You will soon find out there is a major difference!

GOLD ETFs OFFER ZERO WEALTH PROTECTION

April 22, 2020

In this important interview Egon von Greyerz of Matterhorn Asset Management AG, answers questions of Jan Kneist’s Investor Talk.

Mine closures and selling restrictions are causing shortages of precious metals in the retail sector, but ETFs are experiencing large inflows of funds. Where do they get the gold, if at all? Is it still possible to invest large sums in gold via Matterhorn?

More…

Posted at 12:42 PM (CST) by & filed under Jim's Mailbox.

Jim/Bill,

Any one looking for a V shaped recovery better think again.

Dave

States Are in a Quandary as Taxes Evaporate and Virus Spending Soars
April 15, 2020

The ballooning costs of the coronavirus pandemic have put an unexpected strain on the finances of states, which are hurriedly diverting funds from elsewhere to fight the outbreak even as the economic shutdown squeezes their main source of revenue — taxes.

States provide most of America’s public health, education and policing services, and a lot of its highways, mass transit systems and waterworks. Now, sales taxes — the biggest source of revenue for most states — have fallen off a cliff as business activity grinds to a halt and consumers stay home.

Personal income taxes, usually states’ second-biggest revenue source, started falling in March, when millions lost their paychecks and tax withholdings stopped. April usually brings a big slug of income-tax money, but this year the filing deadlines have been postponed until July.

More…


Jim/Bill,

We have entered uncharted territory.

Dave

2019 to 2032.

Jim

Oil Price Collapse Delivers a Loud Warning
April 21, 2020

“Biggest” or “fastest” declines in history are becoming routine characterizations in business media of everything from stocks to unemployment claims to U.S. Treasury yields and now to commodity prices. You’d have to go back to the 1930s and the Great Depression to find as many similar references.

And there was one other key characteristic that defined the early 1930s and now: unprecedented wealth inequality that had been manufactured by Wall Street running an institutionalized wealth transfer system that culminated in a stock market crash that erased 90 percent of the stock market’s value from 1929 to 1932.

The late MIT economist, Lester Thurow, explained some three decades ago what happens when wealth is concentrated in too few hands:

“Depression is seen as a product of systematic tendencies for the distribution of wealth to become concentrated among a few. When this happens, demand eventually sags relative to supply and long cyclical downturns commence…

More…

Posted at 10:42 AM (CST) by & filed under USAWatchdog.com.

By Greg Hunter’s USAWatchdog.com

Legendary financial and geopolitical cycle analyst Martin Armstrong says shutting down the economy is far worse that the effects of the Wuhan China virus. Armstrong says, “This is just scare mongering, and there is another agenda going on. The WHO is part of the UN, and the UN is for this climate change, and this is what their objective has been: Shut down the world economy, bankrupt everything you possibly can, and then rebuild from scratch. . . . The devastation in the economy is unbelievable. Our computer is very well known. Just about all the intelligence agencies look at it because it’s the only fully functioning artificial intelligence system in the world. It was saying unemployment was going to rise dramatically and retest the Great Depression highs. . . .That’s never happened like that. Even in the Great Depression, it took three years to get to 25%. We passed 13% in the first month. . . . From the very beginning, I said something is not right. Something is wrong. . . . This is really going to push the debt bubble over the cliff. . . . The number that has died is minimal. More than twice that die from the flu. There is no logical explanation to have done this. The study they used was not even peer reviewed.”

So, if Armstrong were face to face with President Trump, what would he tell him? Armstrong says, “What he needs to do is open up the economy instantaneously. I think he needs to appoint a special prosecutor to investigate who started this. All the information I have is pointing to a deliberate and intentional movement to harm the economy. These people are elitists. Bill Gates was in Germany saying everybody should remain in lockdown until he comes up with a vaccine. . . . I put out a forecast a few weeks ago and said after week four, we will start seeing protests, and after week six, it will turn to violence. We hit week four and we got protests already all around the country. . . . Facebook is acting like Stalin. Anybody comes out and says let’s get together and exercise our First Amendment rights, they are removing it.”

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Posted at 4:53 PM (CST) by & filed under General Editorial.

Please note, this article was posted for subscribers Monday morning after suggesting “negative oil” on Saturday’s weekly call.

I made the comment on Saturday’s call, “we had negative interest rates, now we wait for negative oil prices”. I received a few questions because the negative price of anything makes no sense right? Well actually it does. Because demand has dropped so precipitously and production has continued unabated, supply is piling up. In the real world this is a huge problem because the oversupply must be stored somewhere. Oil is now being stored on previously empty tankers because land based storage facilities are overflowing.

It is now estimated that in roughly 30 days there will be no more spare capacity for storage. It will be at this point producers will need to “pay” (as in accept a negative price) for produced oil. Crazy yes but also reality. Beyond the obvious that low (or negative) oil prices will destroy individual companies and thus the entire industry, there are other ramifications more nuclear to the financial and real economic systems.

First, think of the unemployed. The oil patch will be forced to let several hundred thousand workers go…and then of course the ripple effects. But the bigger hit will be the ripples financially. Think of all the debt that will default? The producers themselves will struggle and many will fail. When they fail, payments will also to various areas including and specifically on their debt. Who owns the debt? It is spread far and wide but these bondholders who previously believed they sat on secure assets will find out they are also the big losers.

Another death will be the “petro” dollar. The dollar has been supported from oil revenues being reinvested into Treasuries since 1973. Yes the Fed will step in to replace the demand but this is outright monetization and anyone with half a brain knows where this will end up. In fact, oil nations who previously supported the petrodollar will likely be seen as sellers of US Treasuries just to stay afloat adding more pressure to bond prices and thus interest rates!

$11 oil is not sustainable and will destroy the entire industry if not the entire financial system … but we very well may see negative prices before the anomaly ceases. Negative interest rates and negative oil prices make no sense whatsoever, negative rates have already occurred, negative oil prices are the other shoe to drop.

For those who believe the ESF and PPT can rig all prices all the time, what is happening in oil should show you there are loose ends or unintended consequences not previously thought of. “They” have lost control of the car and have only the gas pedal left as the brakes failed and the steering wheel is unattached. Not that you should forget about everything else but just oil prices alone guarantee massive widespread debt failures/bankruptcies. “Someone” loses and loses huge which spills over in a massive ripple effect. The problem now is that ripples are coming from all directions like a kid just who threw a handful of stones into a pond….Oil is certainly one of the larger more important stones!

Standing watch,

Bill Holter

Holter-Sinclair collaboration

Posted at 10:32 AM (CST) by & filed under In The News.

Revolutionary Times and Systemic Collapse – “The System Cannot Handle It”
April 20, 2020

Some have queried how it could be that President Putin would co-operate with President Trump to have OPEC+ push oil prices higher – when those higher prices precisely would only help sustain U.S. oil production. In effect, President Putin was being asked to underwrite a subsidy to the U.S. economy – at the expense of Russia’s own oil and gas sales – since U.S. shale production simply is not economic at these prices. In other words, Russia seemed to be shooting itself in the foot.

Well, the calculus for Moscow on whether to cut production (to help Trump) was never simple. There were geo-political and domestic economic considerations – as well as the industry ones – to weigh. But, perhaps one issue trumped all others?

Since 2007, President Putin has been pointing to one overarching threat to global trade: And that problem was simply, the U.S. dollar.

And now, that dollar is in crisis. We are referring, here, not so much to America’s domestic financial crisis (although the monetisation of U.S. debt is connected to threat to the global system), but rather, how the international trading system is poised to blow apart, with grave consequences for everyone.

More…