Gold Daily and Silver Weekly Charts - Snoratorium

"Such is the rule of our warfare. We advance by yielding; we rise by falling; we conquer by suffering; we persuade by silence; we become rich by bountifulness; we inherit the earth through meekness; we gain comfort through mourning; we earn glory by penitence and prayer.

Heaven and earth shall sooner fall than this rule be reversed; it is the law of Christ's kingdom, and nothing can reverse it but sin."

John Henry Newman

 

These markets are on manual control, and lockdown.

 

Keep an eye on Greece, Deutsche Bank, and the Ukraine.

 

Have a pleasant weekend.

 

 

SP 500 and NDX Futures Daily Charts - Everybody's Working For the Weekend

Too nice today to stay in and watch the wash cycle kick back in again.

These markets are on manual control from somewhere, I am not exactly sure by whom.

But I think we all have our suspicions.

Have a pleasant weekend.

 

Gold Daily and Silver Weekly Charts - The Dukes of Moral Hazard: Bad Boys, Bad Boys

Gold and silver were capped today as usual.

A reader told me, second hand, that an acquaintance in the CME claims that the action in the CME Hong Kong is 'phony' and that they ought not pay attention to it. The CME is just trying to make an appearance there, it seems.

I have to admit that it is a little funny to see these big withdrawals and deposits of almost the same size each day from the Brink's warehouse. But as I have said, I wish to keep an eye on this for some time.

What I found even odder was that the source of this information apparently takes what the CME says about their US operations very literally. How can someone say, 'oh yes they are crooks and frauds over there,' and not suspect that they are not exactly the pillars of righteousness in their data reporting over here?

I will keep an eye on things and see what happens. But overall I suspect my own opinions of this are fairly clear.

Speaking of which, there was little delivery action in The Bucket Shop yesterday, and they were mostly moving stuff around in the warehouses for the most part.

The active month of June for gold started out strong in the first couple of days, and then went completely flat as gold was hit hard in the paper markets.  

The physical markets in Asia keep rolling along.

I see some people asking whether gold bugs were wrong, or just early.  Allow me to retort. 

Since 2000, the SP 500 is up about 38%, plus dividends. Over the same timeframe, gold went from $250 to $1180 today.  That's spelled g-o-l-d.

What is going on in the Ukraine, Greece, and with these international treaties like TTIP and TTP is appalling. The political and professional classes in the West are just off the hook and out of control. I am wondering what will bring them back to earth, and restore some sense of proportion to their feeding frenzy of greed. 

 

Generally these sorts of things do not end well, or quietly.

Have a pleasant evening.

 

 

 

 

 

 

SP 500 and NDX Futures Daily Charts - Res Publica, Res Imperium, Res Corporata

 

What is happening in Greece is clearly about more than just money.   How can they blithely give Ukraine a pass and a free lunch, and Greece the Iron Heel?  

 

I am wondering what will satisfy the Troika, short of tossing out the elected government of Greece and putting a Stellvertretender Reichsprotektor in place to administer their newly taken territories to the south. 

 

Keep an eye on Deutsche Bank and the Ukraine.

 

I have a bad feeling about this market.

 

Have a pleasant evening.

 

 

 

Gold Daily and Silver Weekly Charts - Capped - The Iron Heel

"We discover that the fortunes realized by our manufacturers are no longer solely the reward of sturdy industry and enlightened foresight, but that they result from the discriminating favor of the Government and are largely built upon undue exactions from the masses of our people.

The gulf between employers and the employed is constantly widening, and classes are rapidly forming, one comprising the very rich and powerful, while in another are found the toiling poor.

As we view the achievements of aggregated capital, we discover the existence of trusts, combinations, and monopolies, while the citizen is struggling far in the rear or is trampled to death beneath an iron heel.

Corporations, which should be the carefully restrained creatures of the law and the servants of the people, are fast becoming the people's masters."

President Grover Cleveland, State of the Union, December 3, 1888

Gold and silver popped this morning in New York, and then gave a bit of it back in the afternoon.

 

Silver is still hanging on to the 16 handle, and gold is hovering near the bottom end of a trading range between 1170 and 1230 US dollars.

 

There was intraday commentary on the CME futures exchange in Hong Kong here.  

 

I have not yet made up my mind on how real this market is. 

More specifically, even though it seems to require 'physical delivery' it is a thin market, and it is not completely clear to me how much of the gold might be round-tripping, how easy it might be for that to happen.   Koos Jansen in particular has done extraordinary good work sorting that out on the Shanghai Gold Exchange.   I do not wish to make any assumptions about the CME in Hong Kong and what the mechanics of things might be there.    I don't suppose any reader are trading on the CME gold exchange in Hong Kong and can let us know.

However I wanted to pass along a very interesting comment from my friend Nick:

For Tuesday the NY Gold Futures Contract had Volumes of 96,032 and Open Interest of 407,893 contracts.

For Tuesday the HK Gold Futures Contracts had Volumes of 168 & Open Interest of 45 contracts. (this is normal - very thinly traded).

Yet for the last two months the NY Contract delivered 16.2 tonnes of gold whilst the HK Contract delivered 257 tonnes of gold.

Yes that is something to think about, BucketShop-wise.

 

There was also some interesting commentary on the surprising fragility in the US debt markets here.

 

They'll never learn.

 

Have a pleasant evening.

 

 

 

 

 

SP 500 and NDX Futures Daily Charts - This is the Way We Wash and Rinse

Wax on, wax off.

Easy to do when the markets have become a casino.

Have a pleasant evening.