Your Latest Crime Scene Report

Mon, May 11, 2015 - 1:06pm

Late Friday saw the release of another in the inglorious line of Bank Participation Reports from the criminally-complicit CFTC. Why I'm even bothering to write about it is beyond me.

Before we begin, the usual background:

  • The CFTC's Bank Participation Report is issued monthly from a survey taken at the Comex close on the first Tuesday of every month. The report summarizes the combined positions of the four largest U.S. banks (primarily JPM, MorganStanley, Citi, Goldman but occasionally others) and the twenty largest non-U.S. banks (Scotia, HSBC, DeutscheBank, UBS, Barclays and others).
  • These reports might be utter nonsense and complete falsifications, designed to mislead and misdirect. Just last year, JPMorgan was fined by the CFTC for "repeatedly submitting inaccurate reports relating to the required reporting of positions". See here:
  • I will leave it up to you, dear reader, to assign or withhold legitimacy to/from the data. My job is simply to report to you on what the data shows. Further, before we begin, I urge you to review this post from February:

    OK, are you ready? Then let's get started.

    Over the course of the past reporting month, the price of gold has fallen by $17 while total Comex gold open interest rose by 9,427 contracts from 390,571 to 399,998. The "data" shows that the 24 Banks covered by the report decreased their combined NET SHORT position from 74,187 to 56,819 contracts over this time period.

    This is good news, I suppose, as this combined NET SHORT is the lowest reported total since November and December, which of course is when price was bottoming near $1150. Price then rallied over 13% in January.

    For today, though, I'd like to go back and re-visit two BPRs from the past so that you can see just how much the data has changed over the past couple of years. From there, you can decide whether or not this information has any use at all and you can assess whether, instead, it's still full of lies and deceit. For, in the words of the CFTC:

    "JPMS continued to submit large trader reports that contained hundreds of errors throughout the period from February 1, 2013 to February 2014."

    Do you really think that a fine of $650,000 was sufficient enough to get them to stop their lies and clean up their act? Hmmm??

    Alrighty, then. Check out this report first. This one is from October 2, 2012. QE∞ was just announced by The Bernank and gold was near $1800. All systems looked a "GO" for a renewed rally and push to new highs.


    U.S. Banks 40,625 146,809 -106,184

    Non U.S. Banks 34,881 113,445 -78,564

    TOTAL 75,506 260,254 -184,748

    As it turned out, gold wasn't ready to push to new highs. Instead, it sold off, highlighted by the extreme smash of April 2013, where it was clipped for over $200 in two days. By January of 2014, price was nearly $600 lower at $1229 and the BPR that the CFTC released on January 7, 2014 looked like this:


    U.S. Banks 59,291 20,032 +39,259

    Non U.S. Banks 26,128 32,492 -6,364

    TOTAL 85,419 52,524 +32,895

    So, if the data are to be believed, look at the obscene profits made by the 24 Banks during the manufactured decline in price. While price fell from by 30%, The Banks massaged their NET position by 217,643 contracts. That's 21,764,300 ounces of paper gold or about 677 metric tonnes!

    OK, now let's look at the data released last Friday. Recall that this is data taken from the BPR survey last Tuesday, when price closed at $1193...a tiny $36 or 3% lower than it was on January 7, 2014.


    U.S. Banks 6,966 29,851 -22,885

    Non U.S. Banks 29,748 63,682 -33,934

    TOTAL 36,714 95,533 -56,819

    The changes to last Tuesday from October 2012 AND January 2014 are breathtaking! But wait, but wait. I thought The Banks are just altruistic, benevolent market makers, in the business of simply creating orderly and fair markets for the CME/Comex. (At least that's what The Apologists always claim.) IF that's the case...and IF we assume that this information is accurate and reliable...AND THOSE ARE SUCH BIG IFS THAT MY FONT SIZE DOESN'T DO THEM JUSTICE...these changes over time sure are interesting. Let's make a few observations. Shall we?

    • The first thing that HAS TO jump out at you is the total Bank NET SHORT position. After moving to nearly 33,000 contracts NET LONG in January of 2014, The Banks are now nearly 57,000 NET SHORT. All the while, price has fallen by 3%. Hmmm. There certainly seems to be a movement afoot to contain price. Vault subscribers know of the importance of what we call "The Nemesis Line". You can see it below. The renewed NET SHORT position confirms the importance of maintaining this line for The Banks.

    • The Banks have managed this primarily through a U.S. Bank (read JPM) dumping of longs. On the BPR of 8/6/13, the U.S. Bank GROSS LONG position reached 90,949 contracts. As of last Tuesday, it was just 6,966 contracts. WOW! That's 83,000 longs closed out and buried.
    • Notice the minimal change in the US GROSS SHORT and Non-US GROSS LONG totals between 1/7/14 and 5/5/15.
    • The only other big change is in the Non-US GROSS SHORT position which has nearly doubled over the same time period from 32,492 to 63,682.

    So what to make of all this...if anything, given the suspect nature of the data.

    This isn't a "bullish" report but it isn't really "bearish", either. All it confirms is that The Banks still stand ready to naked short any future rally. They did this in January through the naked issuance of over 85,000 new contracts and we can be certain they'll pull the same stunt into any rally that develops over the next few weeks, blunting the impact and stalling all possible upside momentum.

    With the enabling and complicit CFTC on the side of The Banks, our primary hope remains the eventual emergence of a new, physical-only system to counter the corrupt LBMA and CME. Until then, we must expect more of the same while using the artificially discovered low prices to our advantage as we stack and prepare for TEOTGKE.


    About the Author

    turd [at] tfmetalsreport [dot] com ()
    Does Feb19 Comex gold close above $1250 on Friday?
    Total votes: 185


    theskier · May 11, 2015 - 1:10pm
    infometron · May 11, 2015 - 1:10pm

    one is the loneliest number

    I feel your pain Dr. P.

    Edit: Hey, AZ I'm okay to swap with ya!

    Age Zilverstra · May 11, 2015 - 1:14pm


    Turd: Why I'm even bothering to write about it is beyond me.

    I am going to read it anyway. Despite this being pretty difficult stuff for me.

    Edit: darn Infometron, missed this one, so I am First this time...

    ned braden theskier · May 11, 2015 - 1:18pm

    What is needed here

    Is a legitimate GOFO number. Somehow.

    infometron · May 11, 2015 - 1:23pm

    @Turd Re: BPR

    So by my reckonin' the total net short position of the banksters is ~7% of annual world production (sans China)

    Any chance you could run the numbers for silver as well? I'm under the impression that the banksters are even crazier-est short there (JPM's purported hoard notwithstanding)

    infometron · May 11, 2015 - 1:29pm

    I never bother to look at the

    I never bother to look at the silver BPR because there are rarely any significant changes. The Banks are always massively NET SHORT. 

    You can scroll through the reports by clicking here:

    indiana rod · May 11, 2015 - 1:36pm

    Reporting Errors

    "JPMS continued to submit large trader reports that contained hundreds of errors throughout the period from February 1, 2013 to February 2014."

    Wow. Their reporting errors have almost caught up with the Clinton Foundation.

    infometron · May 11, 2015 - 2:34pm

    @Turd Re: I never bothered to look at...

    Thanks, Craig, yet another website bookmarked!

    Based on those data, by my reckonin' once again, banksters are currently net short >20% of annual world silver production.

    Edit: Assumptions made Ag: 5000 oz/contract; 32,151 oz/tonne; 25,000 tonnes/year

    and for Au above: 400 oz/contract; 32,151 oz/tonne; 2,500 tonnes/year (sans China)

    · May 11, 2015 - 5:04pm

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    · May 11, 2015 - 5:15pm
    Safety Dan · May 12, 2015 - 12:48am

    September 11, 2001 – Never

    September 11, 2001 – Never forget the day United States Government lied and deceived this nation and the world for profit and control

    Safety Dan · May 12, 2015 - 12:50am



    Well before the conflict for establishing a National Bank in America or the eventual surrender to the money changers with the betrayal in instituting the Federal Reserve, the history of the Bank of England needs to be studied. Relying on British historians may seem to invoke a cultural bias; however, the range and wealth of information on this topic comes from an earlier age. Further research will expand this understanding and many of the sources cited can fulfill this objective.

    For purposes of a mainstream account, the official site of the Bank of England provides a flowery version about the background and purported success of the scheme proposed by “William Paterson, envisaged a loan of £1,200,000 to the Government, in return for which the subscribers would be incorporated as the “Governor and Company of the Bank of England”. Although the new bank would have risked its entire capital by lending it to the Government, the subscription proved popular and the money was raised in a few weeks. The Royal Charter was sealed on 27 July 1694, and the Bank started its role as the Government’s banker and debt-manager, which it continues today.”

    “The bank hath benefit of interest on all moneys which it creates out of nothing.”

    The Bank of England account, published by Cassell, Petter & Galpin cites a rocky start and opposition from the goldsmiths.

    “In 1696 (very soon after its birth) the Bank experienced a crisis. There was a want of money in England. The clipped silver had been called in, and the new money was not ready. Even rich people were living on credit, and issued promissory notes. The stock of the Bank of England had gone rapidly down from 110 to 83. The goldsmiths, who detested the corporation that had broken in on their system of private banking, now tried to destroy the new company. They plotted, and on the same day they crowded to Grocers’ Hall, where the Bank was located from 1694 to 1734, and insisted on immediate payment—one goldsmith alone demanding £30,000. The directors paid all their honest creditors, but refused to cash the goldsmiths’ notes, and left them their remedy in Westminster Hall. The goldsmiths triumphed in scurrilous pasquinades entitled, “The Last Will and Testament,” “The Epitaph,” “The Inquest on the Bank of England.”

    It did not take long for the Jewish bankers to set their sights on Paterson’s bank and financiers for the English regime. Brother Nathanael Kapner adds his audacious viewpoints.

    Safety Dan · May 12, 2015 - 1:02am

    Anti-Gun Democrat Lawmaker

    Anti-Gun Democrat Lawmaker Blasts Girlfriend’s Car With Shotgun

    Posted by Bob Owens on May 11, 2015 at 11:05 am

    Sources told Local 4 state Sen. Virgil Smith, who represents the fourth district, fired several shots into the woman’s car.

    Investigators walked out of Smith’s home with what appeared to be a shotgun wrapped in a garbage bag. Investigators with Detroit police placed it in the backseat of an unmarked car.

    Around 1 a.m. Sunday police were called to Smith’s home for reports of shots fired

    Sources told Local 4 that early Sunday morning Smith and his girlfriend, a prominent businesswoman from Ann Arbor, got into an argument. Police said the victim told them multiple shots were fired in front of the home at Wexford and Hilldale, on the east side.

    Not arrested.. hmmm.. He's some kind of special.. 

    But wait there's more:

    Suspended California State Senator Leland Yee departs the U.S. courthouse following a hearing in San Francisco, California March 31, 2014. REUTERS/Robert Galbraith

    Suspended California State Senator Leland Yee departs the U.S. courthouse following a hearing in San Francisco, California March 31, 2014.

    California's senator Yee indicted on gun, corruption charges


    A prominent Democratic California state senator and gun-control advocate was indicted by a San Francisco grand jury on charges of corruption and conspiracy to traffic in firearms, according to court documents released on Friday.

    The indictment adds to the troubles facing state Senator Leland Yee, who was arrested last week and criminally charged along with two dozen others in the same case. He has since been suspended with pay.

    ​And for the final article:

    Assault Firearms Elimination H.R. 1745

    James Crighton Safety Dan · May 12, 2015 - 1:34am

    @Safety Dan - the scam that is Central Banking

    Thanks for the post on Central Banking. It continues to amaze me how this cruel scam continues unabated. One just hopes that the internet will help expose the criminality - and that eventually these psychopathic banksters - aided and abetted by their equally psychopathic bought-and-paid-for-politicians - will be brought to justice - if not by a changed system, then by the mob (and that - the latter - I would wish on no-one - except banksters).


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