Friday Fun

127
Fri, Aug 10, 2012 - 10:30am

So much to do and so little time. Let's get started.

Thank you for the day off yesterday. It was very productive and helpful. However, the world doesn't seem to stop just because I want it to...so...there are a number of things that have piled up while I was away.

First of all, the USDA crop estimate that I was anxiously awaiting finally came out this morning. It was pretty much what most expected. Bad...but not horrific. Yet. By late yesterday, I had come to expect a quick pop at the news and then some profit-taking. That's pretty much what has happened. From late Wednesday through the close yesterday, corn had already risen by 40c and soybeans bounced 80c. This indicated that we were onto a "buy the rumor, sell the news" type of event and that's exactly what has happened. From here, let's see if we can get a little pullback and subsequent erosion of option premium. Nothing can save the corn crop at this point so yields will likely continue to be marked down. Nine dollar plus corn is still likely as we head toward harvest.

Crude ran out of gas today and you can see it on the chart. I'm not too worried, though. The 16-day global festival of peace, love and utopia is about to end in London so next week should bring a renewed focus on all the strife and chaos in the Middle East. The next move, through this week's highs of $94+, should carry crude toward $98.

Lots of talk about Uncle Ted's latest piece. Since it has now been widely distributed, I thought I'd c&p the two paragraphs that I personally found the most interesting:

"More importantly, were the agency to charge JPMorgan with manipulation of the silver price (as it should) that could set off a series of events that could easily grow out of control. One thing that makes the silver manipulation so potentially profound is that the core allegation is of a crime in progress. The CFTC has never busted up a manipulation that was in force; like most government agencies, it only reacts after the fact. Don’t take that solely as a complaint, but more as an observation that governments are more reactive than proactive. Because the silver manipulation is very much in force, were it to be terminated by CFTC actions against JPMorgan and/or others, it would be a “live” event for the first time. History shows that all manipulations end violently. In the case of silver, since it has been depressed in price by a downward manipulation, its termination would necessarily cause prices to explode higher. Any charge brought by the CFTC would send a clear signal to the world that silver had been depressed in price and was undervalued and, therefore, should be purchased. This would cause a flood of buying and discourage new selling, causing the price to truly explode, most likely in disorderly market conditions. Do you find it likely that the CFTC would wish to cause that disorderly pricing that could lead to further unsettled conditions in other markets?

If JPMorgan (and perhaps the CME Group) were found to be the main culprits in the silver manipulation and the CFTC brought charges against them, the repercussions to JPM and the CME could be a threat to them as going concerns. It was never a case that JPMorgan couldn’t financially afford to buy back its concentrated silver short position; it was always a case that should JPM ever move to buy back aggressively to the upside that would prove conclusively that it had been manipulating the price of silver all along. That would set JPMorgan (and the CME) up for a legal holocaust, both civil and criminal. There has been talk of a civil litigation nightmare for those banks deemed guilty in the developing Libor manipulation; but determining damages will be difficult because the Libor rates were allegedly manipulated both up and down, making the damages unclear and hard to prove. Were there to be findings of a downward manipulation in silver, those damaged, from investors to producing companies and countries could easily demonstrate the damage. Back in the Hunt Bros silver manipulation of 1980, one of the successful litigants was Minpeco, the government producer organization from Peru, who I remember collected more than $100 million. That would be chicken feed compared to the consequences of the much longer downward silver manipulation of today by JPMorgan. And this says nothing of potential criminal liability."

High hopes, indeed.

And here are a couple of updated charts for you. I posted similar charts into yesterday's comments section when I saw the clear and determined effort to keep gold under $1620. I suspect that there are an enormous amount of buy-stops above 1620 and 1625 that must be protected. A move that trips those stops would cause a surge in price that would likely break gold through 1635-1640 and present a clear technical buy signal to the momentum-chasing algos. To keep this from happening, 1620 is being defended. That said, The Cartels are fighting a losing battle here. Demand for physical metal continues to be extraordinarily strong in London, particularly in euro. Trader Dan wrote an excellent piece about this yesterday ( https://www.traderdannorcini.blogspot.com/2012/08/euro-gold-hinting-at-upside-breakout.html). Soon, gold will break through 1620 and silver will break through 28.20. It is simply a question of when. Today? Monday? Soon. Very soon.

I've got two other posts that I have to create this morning and a podcast for TTM, too. Again, lots to do and little time to do it in so I'd better wrap this up. Please keep checking back as I will be adding content through the day.

Have a great day and a great weekend!

TF

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Silver Danny
Aug 12, 2012 - 7:25pm

Bill Murphy-More "Source" Input On Coming Precious Metals Price

Bill Murphy

Chairman Gold Anti-Trust Action Committee

www.LeMetropoleCafe.com

August 12 - Gold $1619.70 – Silver $28.06

More "Source" Input On Coming Precious Metals Price Explosions

Over the past month+ I have been pounding the table that based on information from three extremely informed sources the prices of gold and silver would begin their launches to much higher prices in August … a launch that would lead to all-time highs in both precious metals and well beyond.

The reason for this Mini-Midas is that I just received some new input, which supports what my original sources have been telling us for some time. It is from someone I have known for a long while and is of the same caliber as my other sources in terms of reliability. When you have traded commodities and stocks as long as I have, and get to be my age, it is fairly easy to sort that all out … and what to run with.

Here it is … short, sweet, and maybe VERY important:

August 10, 2012

The METALS

I have spoken before about my contact on the Board of Trade who trades mainly the metals and is in touch with New York minute by minute. He has been saying for several weeks that the metals would have one more big drop (1525-1550) before they really took off. Today he changed his mind. They saw heavy covering of shorts in Chicago and New York. This should show in next week’s COT. They see an explosion of huge proportions and are adding four more floor traders as they see August as a record month for them. He closed by saying "We could see a 100% increase in 90 days." Tie this in with other things that we have read and heard. Golden regards
Peter

If what Peter sends us pans out anywhere close to what he has been told, this Mini-Midas is more than well worth the read. What fascinates me is that this new input confirms what my other three sources have been saying. Now we wait to see how this plays out in the three weeks of trading left ahead in August.

In addition, as you well know by now, it has come to my attention from all of my original contacts that JP Morgan has a big problem with their silver short position and that this problem will reveal itself in a public way in the near future…

***

Nana
Aug 12, 2012 - 2:30pm

Wow

What happened to the site?

SaratogaPrepper
Aug 12, 2012 - 2:20pm
opticsguy
Aug 12, 2012 - 1:02pm
Nana
Aug 12, 2012 - 2:56am

Once again DHS orders hundreds of millions of rounds of ammo

Once again DHS orders hundreds of millions of rounds of ammo

The federal government, specifically the Department of Homeland Security, is buying up huge amounts of ammunition and there seems to be no end in sight. Again, this is nothing new as the DHS has refused to explain their purchase of 450 million hollow points ( https://endthelie.com/2012/04/03/dhs-wont-explain-its-order-of-450-million-hol... ) and has ordered "up to" 650-750 million rounds of ammo ( https://endthelie.com/2012/04/05/why-does-homeland-security-need-up-to-650-750... ) and also seems to be looking for more weapons as well ( https://endthelie.com/2012/06/12/dhs-agencies-to-buy-up-to-7000-new-5-56x45mm-... ).

Video unavailable

https://sgtreport.com/2012/08/once-again-dhs-orders-hundreds-of-millions...

Nana
Aug 12, 2012 - 2:30am

Basel III, Banks and Bill

https://www.mortgagenewsdaily.com/channels/pipelinepress/08102012-cfpb-g...

Basel III Comment Period Extended; CFPB Servicing Guideline Proposals; LO Realtor Thoughts

https://www.huffingtonpost.com/2012/08/07/bank-of-america-foreclosed-mil...

Bank Of America Violated Law Protecting Active Duty Military, Lawsuit Claims

https://www.housingwire.com/news/us-bank-sets-aside-130-million-potentia...(HousingWire)

US Bank sets aside $130 million for potential mortgage servicing settlement

https://www.mineweb.com/mineweb/view/mineweb/en/page72068?oid=156774&sn=...

Draft Russian bill facilitates foreign mining of gold, PGM, diamonds

According to documents published on a ministry website, Russia's ministry of natural resources is considering allowing companies with foreign capital to mine its gold, PGM and diamond reserves

Nana
Aug 12, 2012 - 1:51am

Global Incident Maps

https://outbreaks.globalincidentmap.com/home.php

Global Incident maps

Click on the buttons to see the different maps, most are free.

Nana
Aug 12, 2012 - 1:12am

Lots Going On

https://libertyblitzkrieg.com/2012/08/10/ndaa-the-most-important-lawsuit...

NDAA: The Most Important Lawsuit in American History that No One is Talking About Posted on August 10, 2012 by Michael Krieger

Despite a mainstream media blackout on the topic, the alternative media is abuzz with this week’s hearing on the constitutionality of the clearly unconstitutional NDAA. In case you don’t remember, section 1021 of the NDAA, which Obama signed into law on December 31 of last year, allows the government to lock up U.S. citizens indefinitely without a trial. At the time of signing, Obama penned a pathetic letter to many of his outraged supporters where he basically said he signed it but he won’t use it. Thanks pal!

In any event, the Administration is showing its true colors by appealing an injunction that judge Katherine Forrest issued against it in May. The injunction was in response to the lawsuit filed by Pulitzer Prize winning journalist Chris Hedges and others. While the NDAA clearly vaporizes the 5th and 6th Amendments of the Constitution, I believe the real target is the 1st Amendment. By having a law on the books that allows the government to arbitrarily lock anyone up and throw away the key, the government is actually trying to instill enough fear in people that they self-censor speech and become too afraid to criticize the criminal elite political and economic oligarchy.

Tangerine Bolen is one the lead plaintiffs in the suit against the government and she penned a powerful piece for the UK’s Guardian. Here are some key quotes:

I am one of the lead plaintiffs in the civil lawsuit against the National Defense Authorization Act, which gives the president the power to hold any US citizen anywhere for as long as he wants, without charge or trial.

In a May hearing, Judge Katherine Forrest issued an injunction against it; this week, in a final hearing in New York City, US government lawyers asserted even more extreme powers – the right to disregard entirely the judge and the law. On Monday 6 August, Obama’s lawyers filed an appeal to the injunction – a profoundly important development that, as of this writing, has been scarcely reported.

Judge Forrest had ruled for a temporary injunction against an unconstitutional provision in this law, after government attorneys refused to provide assurances to the court that plaintiffs and others would not be indefinitely detained for engaging in first amendment activities. At that time, twice the government has refused to define what it means to be an “associated force”, and it claimed the right to refrain from offering any clear definition of this term, or clear boundaries of power under this law.

This past week’s hearing was even more terrifying. Government attorneys again, in this hearing, presented no evidence to support their position and brought forth no witnesses. Most incredibly, Obama’s attorneys refused to assure the court, when questioned, that the NDAA’s section 1021 – the provision that permits reporters and others who have not committed crimes to be detained without trial – has not been applied by the US government anywhere in the world after Judge Forrest’s injunction.

Full article here.

I would also take the time to watch this short video from one of the co-counsels on the case as to exactly what the government is arguing in court. Not a word from the mainstream media on the most important court case in American history. One that will decide the fate of a law that will effectively dismantle at least a third of The Bill of Rights.

Please share this with everyone that cares about Liberty and The Republic.
Mike

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tmosley
Aug 11, 2012 - 10:58pm

I thought that letter was

I thought that letter was old, it is from March 16th of this year. Most notable is that that was BEFORE THE LIBOR SCANDAL. Although there was some stink in the media about investigations around the same time (see the timeline here: https://en.wikipedia.org/wiki/Libor_scandal), JPM was not mentioned until June.

This lends quite a bit of significance to the letter in my eyes.

MsMaryMacTF
Aug 11, 2012 - 9:30pm

I expect a very interesting and exciting week next

Soon, the game will be ending and the fireworks show will begin immediately following.

Response to: Pleeeeeeezzzzeee, Tuuuuurrrrrd?

UNDERSTAND YOUR RESPONSE TURD! BUT THIS CAN'T BE A GOV. SECRET

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Key Economic Events Week of 5/18

5/18 2:00 ET Goon Bostic speech
5/19 8:30 ET Housing starts
5/19 10:00 ET CGP and Mnuchin US Senate
5/20 10:00 ET Goon Bullard speech
5/20 2:00 ET April FOMC minutes
5/21 8:30 ET Philly Fed
5/21 9:45 ET Markit flash PMIs for May
5/21 10:00 ET Goon Williams speech
5/21 1:00 ET Goon Chlamydia speech
5/21 2:30 ET Chief Goon Powell speech

Key Economic Events Week of 5/11

5/11 12:00 ET Goon Bostic speech
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5/12 8:30 ET CPI
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5/12 10:00 ET Goon Quarles speech
5/12 10:00 ET Goon Harker speech
5/12 5:00 ET Goon Mester speech
5/13 8:30 ET PPI
5/13 9:00 ET Chief Goon Powell speech
5/14 8:30 ET Initial jobless claims and import prices
5/14 1:00 ET Another Goon Kashnkari speech
5/14 6:00 ET Goon Kaplan speech
5/15 8:30 ET Retail Sales and Empire State index
5/15 9:15 ET Cap Ute and Ind Prod
5/15 10:00 ET Business Inventories

Key Economic Events Week of 5/4

5/4 10:00 ET Factory Orders
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5/5 9:45 ET Markit Service PMI
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5/7 8:30 ET Productivity
5/8 8:30 ET BLSBS
5/8 10:00 ET Wholesale Inventories

Key Economic Events Week of 4/27

4/28 8:30 ET Advance trade in goods
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4/29 8:30 ET Q1 GDP first guess
4/29 2:00 ET FOMC Fedlines
4/29 2:30 ET CGP presser
4/30 8:30 ET Pers Inc and Cons Spend
4/30 9:45 ET Chicago PMI
5/1 9:45 ET Markit Manu PMI
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Key Economic Events Week of 4/20

4/20 8:30 ET Chicago Fed
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Key Economic Events Week of 3/30

3/31 9:45 ET Chicago PMI
4/1 8:15 ET ADP Employment
4/1 9:45 ET Markit manu PMI
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4/2 10:00 ET Factory Orders
4/3 8:30 ET BLSBS
4/3 9:45 ET Market service PMI
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Key Economic Events Week of 3/23

3/24 9:45 ET Markit flash PMIs
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Key Economic Events Week of 3/9

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Key Economic Events Week of 3/2

3/2 9:45 ET Markit Manu PMI
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3/2 10:00 ET Construction Spending
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3/4 9:45 ET Markit Service PMI
3/4 10:00 ET ISM Services PMI
3/5 8:30 ET Productivity & Unit Labor Costs
3/5 10:00 ET Factory Orders
3/6 8:30 ET BLSBS
3/6 10:00 ET Wholesale Inventories

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