Do Not Look at These Charts Showing Registered 'Deliverable' Gold Bullion In New York

“The sense of responsibility in the financial community for the community as a whole is not small. It is nearly nil."

John Kenneth Galbraith, The Great Crash of 1929

Here are a few charts that show the rather striking decline in 'registered' gold, that is gold available for those standing for delivery, in the Comex warehouses.

'Standing' by the way means standing around and waiting for someone to choose to fulfill your request for your contract to be fulfilled with actual bullion before the cut off date.

You can see from the first chart that the likelihood of someone actually standing for delivery and receiving bullion has never been less at The Bucket Shop.  Real metal is unfashionable amongst our financial sophisticates.

As for delivery and withdrawal of bullion, it is getting stronger and stronger in the East.  Second chart.  What can one say at such embarrassing behaviour?  What a bunch of rubes!

The shills and shrills for the bullion banks will tell you, in hair-splitting and often misleading detail that none of this means anything.    And you better listen to them because they are the ascended masters of the universe.

All of these categories and procedures at The Bucket Shop are meaningless.   And the holders of these millions of dollars in bullion often change the designations of their metal in new but meaningless ways in their quest to baffle the world.  And provide makework for their brokers and clerical staff.

The Bucket Shop is not likely to fall into a hard default.  You cannot lose when you own the game and set the rules, and can always force settlement.

Try not to underestimate the skillfulness and determination of market manipulators.  And especially their shamelessness. They hate it when you refer to the obviousness of their schemes. Like rigging almost every global market, and selling tailor made toxic instruments which they later bet against.  And getting caught, paying a wristslap fine to their cronies, and then claiming that they are the real victims of zealous prosecutors and your envy at their well-deserved success.

So nothing to see here.  Better not to look at it or ask any questions. About anything. Just leave your money and move along.

Shanghai Gold Exchange Has 65.7 Tonnes of Gold Withdrawn into China In Latest Week

Week in, and week out.

Physical gold bullion is flowing from West to East.

Lars Schall interviews German banker Folker Hellmeyer "The Physical Markets of the East Will Prevail"

Gold Daily and Silver Weekly Charts - Fashionably Lean of Thought

"Rudeness is the weak man's imitation of strength."

Eric Hoffer

And the imitation of knowledge as well.

We are in an age of the con man (and woman), when it is fashionable to be lean of thought, and long of bluff and sheer bravado.

At least it seems to be all the rage on financial and social matters. And it is doing remarkably well in the polls.

The veneer of respectability has worn so thin on the Comex that they barely make the effort to keep up the appearances of efficient price discovery.

All that heavy pressing down on the prices all week was released in a single realization this morning that there is no sustainable recovery in the US.  As if that was in any way 'news.'

The Fed will be hard pressed to raise rates by any significant amount.  They would very much like to do so for policy reasons, and perhaps as a boost to the spreads and the strong dollar for their financial cronies.  The incoming-producing assets of the world are up for sale, and the oligarchs will have their rents.

But it is now becoming more likely that they will continue to degrade the currency in order to prop up this miserable economy that we have today in which a very few are garnering the lion's share of all the proceeds for themselves.

The Bucket Shop was very quiet on the delivery report, and the warehouses, those museums to price discovery, continued their slow bleeding out of bullion.

Gold and silver are flowing from West to East.

The miners were particularly advantaged today which was a nice change of pace.

Follow through on the charts of bullion is what is needed, and I think it will be realized one way or another.  Either by the modest restraint of the pool operators at the prospects of an embarrassment at the least, and a breaking of confidence.

And if not that, then a hard stop to the scheme, and a general re-ordering of the flows of wealth and stores of value, not in an orderly manner, but under duress.

Either way you look at it, the current situation will not stand.

Later this evening I hope to have some news on the flows of bullion out of London and New York.

The economic news will be a bit light next week, but earnings are just around the corner.

Please remember those who have none to care for them.

Have a very pleasant weekend.

SP 500 and NDX Futures Daily Charts - Bad News Is Good News, At Least Today

The economic news this week has been generally 'awful.'

At least I do not think awful is too extreme of an adjective, especially in light of the Non-Farm Payrolls report this morning which was much worse than anyone had expected, from top to bottom.

Less people are working less hours at less interesting jobs for less wages.

There is no sustainable recovery.  There can be none without meaningful reform.

This too shall pass.

Have a pleasant weekend.

Gold Daily and Silver Weekly Charts - Perth Mint Silver Coin Sales Record

"I am amazed at how blatant a price manipulation algo is in gold futures this morning. Really affecting prices."

Eric Hunsader, Nanex

Surprised?  Not so much.  They do it almost every day.

Speaking of another day, there is another fine for JPM of $1.86 billion for rigging the swaps market.

I think those fines are also tax deductible.  Sweet.

Let's file this one under 'moral hazard' and 'global financial crimes syndicate.'


There was very little activity in the delivery report from The Bucket Shop.

The slow bleed of bullion out of the warehouses of the West continues.

Sales of silver coins from the Perth Mint have hit a record.

Pet rocks.

Non-Farm Payrolls tomorrow.

Have a pleasant evening.

SP 500 and NDX Futures Daily Charts - Icarus Ascending

"In vain I had at heart to find
The center and the end of space.
Beneath some burning, unknown gaze
I feel my very wings unpinned...

And give my name to the abyss
Which waits to claim me as its own.”

Charles Baudelaire, Lament of an Icarus

Stocks were wide ranging, and once again found some footing late day into the close.

The economic news continues to come in jaggedly, unevenly parsed by vain hopes, dire results, and arrogant indifference.

Non-farm payrolls tomorrow. The expectations are remarkably low.

The Atlanta Fed's forecast for the third quarter barely holds a pulse at 0.9%.

Have a pleasant evening.

Silver Coin Premiums Climb As Shortages Build - Mints Shooting Blanks

"The U.S. Mint began setting weekly sales quotas for its flagship American Eagle silver coins in July because it can't meet demand, and the Canadian mint followed suit after record monthly sales in July. In Australia, the Perth Mint sold a record of more than 2.5 million ounces of silver this month, nearly four times more than in August, and has begun rationing supply of a new line of coins this month, a mint official said.

'Silver [coin] demand is absolutely through the roof,' said Neil Vance, wholesale manager at the Perth Mint. 'There seems to be a bit of frenzy as people think there is a shortage of silver. But in fact it is a (crunch in) manufacturing capacity.'

While demand has risen in response to the slump in spot prices to $14.33 an ounce in late July and its subsequent drop to fresh six-year lows below $14 an ounce in August, mint officials also said they were caught out by the sudden interest in coins. In July, the U.S. mint halted sales for almost three weeks after running out of 'blanks', which are used to make coins."

Some investors like to own physical metal to protect from volatility in other assets, particularly currencies and stocks, and to hedge against geopolitical and economic upheaval. The CBOE Volatility index, or VIX, of U.S. stocks - popularly known as the "fear index" - briefly jumped to its highest since January 2009 earlier this year.

At the U.S. Mint in West Point, New York, where the American Eagle is made, the plant is operating three shifts and paying staff overtime, a spokesman said.

The Austrian Mint, which has begun allocating sales of its Philharmonic silver coins, has increased production of silver blanks after higher-than-expected demand in July and August, a spokeswoman said.

In his 35 years of dealing precious metals, Roy Friedman, vice president of sales and trading at Manfra, Tordella & Brookes, one of the biggest U.S. wholesale coin dealers, said he could not recall seeing a squeeze in supplies of North American silver coins spilling over to coins made in Austria and the U.K. to the degree seen this year.

Dealers and mints trace the supply squeeze to a burst of buying by mom-and-pop investors in the United States, who scrambled to scoop up coins they considered to be at bargain levels after spot silver prices in early July sank to six-year lows."

BMarcy Nicholson, A. Ananthalakshmi and Jan Harvey, Silver-coin shortage shows bright side of 'precious metal collapse'

I would be careful about paying too high a premium for some of these coins.  They seem to be driven by a coin shortage moreso than a silver bullion shortage.

The difference between the American Silver Eagle and the European Silver Philharmonic/Canadian Maple Leaf is a strong indication that the pricing is not entirely rational.