GOFO Yourself

All as normal, I shall pray for Fitch to come down as the rath of sanity with the downgrade as they should as this government couldn't organize a birthday party for a 1 year old where their only job would be to light the candle

is it me or does bart look like someone who has a sic look...  cancer sic?

First

Turd:

Could you get us an update on the SIFO rates from your source that has access.

I know they are probably manipulated, but I just want to see if they are lining up at all.

http://www.zerohedge.com/news/2013-10-16/boehner-caves-said-agree-senate-plan

yes cnbs    today

G-Rod - it's not a nice job, but someone has to do it. 

Totally in agreement about the physical getting drained and must act as a brake.

Author : Bill Holter
Published: October 15th, 2013

http://blog.milesfranklin.com/isnt-it-interesting

"

That “it’s” happening again?  “It” being that the GOFO rates which had gone slightly positive for the last month have collapsed again over the last 2-3 days as the price of gold was forced lower and are nearly negative again.  Zero Hedge put out a piece this morning with some very neat NANEX charts which shows the gold market by the nanosecond and displays the big volume/price dumps over these last few days.

This has truly become hilarious because unlike the “old days,” manipulation has become publicly blatant with zero effort to hide it other than having the CFTC give it their blessing with holy water.  The move toward backwardation in the GOFO rates is significant in my mind because it is occurring at the same time that COMEX stands to lose roughly 60% of their registered gold.  If no more gold enters the dealer side between now and Dec. we will have a disastrous “cash settlement” which of course will not be called a default…but in reality and practicality “default” it will be.

December currently has contracts open representing 22 million ounces of gold while the registered gold is only 700,000 ounces.  Once October is finished there will be only 300,000 ounces remaining unless the inventory is replenished.  (Please keep in mind that JP Morgan has had exactly ZERO outside ounces delivered in since Jan. 1st).  This is a default in the making!  What has been done time after time looks to be happening again, supply has tightened up…and yes, exactly at the same time that “price” has been pushed down.  This economically makes no sense whatsoever from a supply and demand standpoint.  If actual gold was being sold…supply would be plentiful and there would be no pressure for GOFO rates to go negative.  Friday’s dump in price was clearly new short selling as the open interest rose over 7,000 contracts or 700,000 ounces.  Who has this amount of metal to either sell or sell short?  The answer is NO ONE!"

"Before finishing I do want to add on to what I wrote over the last 2 days regarding the Chinese.  As you know, they publicly talked about “de Americanizing” the financial system.  They ALSO publicly dressed down the Japanese for pursuing “opposite policy” where they raise taxes next year while printing another 5 trillion more new Yen.  These statements by the way came out on the heels of the G-20 meeting over the past weekend.  It seems to me that they were emboldened somehow at this meeting.  Maybe they were approached by other members in support or maybe they cut new deals (their last was last week with Europe) that further undercut the U.S./British/Japanese alliance.  Whatever it was, the timing right after a G-20 meeting is curious and maybe quite telling.  Keep your antennae up and do not be surprised by the doors being shut with some sort of “announcement.”  There will be no advance notice whatsoever other than using your own common sense knowing that a currency reset is the coming objective."

End

They will not pay back what they owe - but that is one of the objectives isn't it.

Have an interview or speech where he doesn't bring up limited manpower, limited budget, limited, resources, etc?

Seems he's laying the groundwork for his defense if he's ever prosecuted for breaching his duties.

that we will see 1180 soon,pfffff

We all know the debt ceiling was actually reached in May.  Since then they have been using "special measures" which includes things like not making contributions to the civil service pension fund.  This causes me to ask two questions:

1. Since the fiscal year ended 9/30 and the annual deficit was reported to be down 35-40%, how much did these "special measures" lower the deficit.  I would assume this will drive the deficit higher next year as these payments are made up.

2. What will the GAAP deficit show when it is announced?  My guess is that it will be higher than the previous year, not lower as the liar deficit shows. 

Taper and still be able to fund this deficit?  I don't think so.