Tooth and Nail

Fri, Mar 11, 2016 - 10:57am

Wow. The Forces of Darkness are fighting us for every last tick, nakedly issuing new Comex contracts at a record pace in a desperate attempt to hold gold back from new 2016 highs. Will they win again? When was the last time they lost?

I must admit to a certain level of frustration today. After yesterday's reversal and rally, gold appeared to be on the verge of another breakout. Instead, after surging $10 higher to $1284 at the "Asia open" last evening, gold is now down $20 and back to $1264. How/why?

  • First of all, incredible naked short issuance by The Bullion Banks on the Comex. Just yesterday, they increased the total open interest by 15,000 contracts to a new multi-year high of 504,000. This represents new obligations to deliver up to 1.5MM ounces or 47 metric tonnes but did The Banks deposit any additional gold or put up any extra gold as collateral? Of course not.
  • Price was sat upon all night long as we even saw a return of The London Monkeys after a 3-day absence. Here's a look at price immediately following the Asia open.

  • Next, we get the standard London PM fix screw job where price is suddenly smashed for $5 just as the Fix is determined:

  • And now, at 10:30 EST, I look up to see price at $1258 and down $15 on the day, $26 or 2% from the "Asia" highs. Ridiculous. Is there any accompanying news? No. Has the euro given back all or even part of its gains from yesterday? No. Has the yen suddenly plunged, taking gold with it? No. This is nothing but plain, old standard Cartel raiding. Brutal. Totally unfair. Completely manipulated. Sickening to watch.

So, is that it? Are we doomed to suffer another massive raid and Spec rinse cycle? It's hard to say. The FOMC and accompanying "fedlines" next Wednesday will go a long way toward determining what happens next? Will Mother raise the FF rate again? I doubt it. Will she and her Goons proceed to jawbone their way to dollar strength? Yep. And will The Cartel use this jawboning to raid price even further because "all is well, the economy is strong, markets are surging, rates are headed higher"? Of course.

We will, most definitely, have to watch the charts closely. For now, both metals are hanging tough despite all of the repeated raid attempts and incessant creation of paper metal.

At the end of the day, this is all criminal behavior but what do you expect from a bunch of unregulated criminals? Since the end of January, they've now issued over 130,000 new Comex gold contracts to meet the Spec paper demand. That's 13MM paper ounces or 404 metric tonnes. These banks don't have this gold nor do they intend to find and deliver it. They're simply waiting the process out. Hoping/planning to smash price with such force that the Specs will rush the exits. This Spec selling will allow The Banks to buy back and cover their shorts, thereby reducing open interest and closing positions without ever having to deliver any metal. It's criminal. It's fraudulent. And it's the way business is done on the Comex.

As you can tell, I'm a little beaten down today so I'm planning to take the afternoon off. My pal, Sweetness, is in town so I'm going to watch a little basketball, drink a little beer and play some golf...though not necessarily in that order. As such, there WILL NOT be a podcast this afternoon. We'll record and post one tomorrow morning, instead. (And don't go complaining about how you need me to read the CoT for you. I can tell you right now that it's going to be horrific with the largest Commercial NET short positions in years. We'll deal with that tomorrow.)

Have a great day and try to find some solace in the fact that LIES cannot continue forever. The TRUTH always wins and The TRUTH will one day set prices free.


About the Author

turd [at] tfmetalsreport [dot] com ()


Mar 11, 2016 - 11:45am

Go have some fun Turd

You damned sure deserve it my man.

These things don't bother me anymore. Knowing what is up eliminates the anxiety - i.e. knowledge is the key to serenity in these markets.

You give us that knowledge, I for one am very grateful.

If they push it down far enough - buy some physical, that simple.

Mar 11, 2016 - 11:54am

Daily musing

Methinks that the tooth & nailers want metals to be lower, regardless of what the FED does. But they may not get what they want. On one hand, I hope to see more disappointment on their part in the coming months.

But on the other hand, I am still trying to cut losses and unload rental properties in the midwest. I need the system to hold together until my house is in better order. As of today, there is a bank out there that has the right to come after my personal finances if I cannot make the mortgage payment on a commercial property... and they know I hold some precious metals as part of my "portfolio." So I am thankful for the time we have had to continuing to prepare.

But on the third hand (there are always more than two hands), that MAV video on the last thread, combined with the threat of nuclear war, is scary as hell. If a collapse will end the threat of war, forcing all of us just to struggle for survival and then rebuild our governments, I welcome the collapse. I hate war! and my recent new friendship with a Vietnam vet struggling with PTSD just deepens that hatred.

And on the fourth hand, we are faced with a his horrid choice between Hillary the war-mongering criminal, and Trump the authoritarian dictator. Both are insiders in my view. This not a choice between the lesser of two evils, but the evil of two lessers. But since the neocons hate Trump, I figure that counts for something and may earn him my insignificant protest vote.

Oh! How I long for Ron Paul to step back into leadership.

In the meantime, I have to decide whether or not to hold out hope for my DUST position or cut losses today. I don't think I want to be holding these shares when the FED announcement comes. I am watching for a severe beatdown so I can get out.

In personal news, we received a reasonable offer on a money-pit property in Indiana. That makes three underwater properties sold with only one to go. Then we need to unload two with equity that are in Ohio. Proceeds from those two could pay off our home and fatten our stack. So I really don't want a collapse to happen right away. Yet, I would greatly enjoy seeing metals rip higher while the tooth & nailers hold things together a few more months.

Mar 11, 2016 - 12:32pm

51 million oz OI and position limits

With all the BS talk from incumbents and a prior senator, is there any question why Trump is gaining popularity?

We have regulations that are not being enforced and congress arrogantly initiates more of the shit it wil not enforce unless they get paid under the table to

It is like Cook County.

Trumps no Saint--unless compared to the trash he is competing with. But with the others we are pretty sure we would definitely be going down, Incl Hilary and Bernie).

I was a CFO of a 4000 person 1 billion company and used to hire--the crap I heard is what I hear in the debates and the appearances. Nobody has priorities of what's really important (except Trump who knows we are knocking on BK) and if we go BK nothing else matters, not immigration pro life pro choice, welfare, foreign policy. We become a doormat.

If he is elected we will see a lack of cooperation just like we see in Illinois with a Republican Gov and Democratic IL House and Senate.

Media wil say good, stalemate is good. Not when you are trending down fast.

Conclusion: we are screwed and make sure you have sufficient real money and if necessary a bug out plan. To where I have no idea.

Mar 11, 2016 - 12:32pm

London Fix

Don't forget that the London Fix smash will seem to occur an hour earlier for the next two weeks, due to different dates for the move to "Summer Time".

I understand how the drip by drip takedown is frustrating but the good news is that they no longer seem to be able to produce any smash that has legs and how long is it since we saw a real "waterfall". It really seems different this time.

Angry Chef
Mar 11, 2016 - 12:35pm

MAV Video ?

I can't find the MAV video you reference Dr. J. If you have the link please re-post. Watching this nightmare unfold twists the mind some day's. I can see why Turd needs a day off. I don't see how this ends well at all. The situation with Russia, China and the BRICS is accelerating. Lets hope for calmer heads...but I doubt it.

Mar 11, 2016 - 12:49pm

And this, of course, is

And this, of course, is completely normal. too. A $1.50 range for over an hour...

That's it. I'm outta here. Have a great day, everyone.

Fred Hayek
Mar 11, 2016 - 1:45pm

@Mickey -- there's a lot that can be done even with gridlock

Below are links to a couple of articles by Karl Denninger over at Denninger was ambivalent toward Trump but found that his plan for health care includes enforcing existing laws against much of what Big Pharma and cartel healthcare do. Denninger believes that a president who would simply have the executive branch enforce existing laws against restriction of trade could make huge changes in the health care industry and lower costs.

Mar 11, 2016 - 1:46pm

Lets not forget

yesterday, the market reacted to the Draghi bazooka..and to the Chinese ownership of all losing companies....the stage is now have to expect the masters of the universe to do their thing but in my book its all over just be patient.

Mar 11, 2016 - 1:57pm


I expect the Fed to talk tough as long as they possibly can.... With the S&P looking strong, they will.

And having the commercials loaded on shorts....Wednesday makes me stay very, very cautious.

James Crighton
Mar 11, 2016 - 2:18pm

Update on taking aelivery of silver from

Fellow punters, for those of you that requested updates on the situation relating to my taking delivery of silver from GoldMoney, I am pleased to report that they have compensated me - in full - for the shortfall described in earlier posts. They (GoldMoney) have been most accommodating.


Subscribe or login to read all comments.


Donate Shop

Get Your Subscriber Benefits

Private iTunes feed for all TF Metals Report podcasts, and access to Vault member forum discussions!

Key Economic Events Week of 9/16

9/17 9:15 ET Cap Ute & Ind Prod
9/18 8:30 ET Housing Starts & Bldg Perm.
9/18 2:00 ET Fedlines
9/18 2:30 ET CGP presser
9/19 8:30 ET Philly Fed
9/19 10:00 ET Existing Home Sales

Key Economic Events Week of 9/9

9/10 10:00 ET Job openings
9/11 8:30 ET PPI
9/11 10:00 ET Wholesale Inv.
9/12 8:30 ET CPI
9/13 8:30 ET Retail Sales
9/13 10:00 ET Consumer Sentiment
9/13 10:00 ET Business Inv.

Key Economic Events Week of 9/3

9/3 9:45 ET Markit Manu PMI
9/3 10:00 ET ISM Manu PMI
9/3 10:00 ET Construction Spending
9/4 8:30 ET Foreign Trade Deficit
9/5 9:45 ET Markit Svc PMI
9/5 10:00 ET ISM Svc PMI
9/5 10:00 ET Factory Orders
9/6 8:30 ET BLSBS

Key Economic Events Week of 8/26

8/26 8:30 ET Durable Goods
8/27 9:00 ET Case-Shiller Home Price Idx
8/27 10:00 ET Consumer Confidence
8/29 8:30 ET Q2 GDP 2nd guess
8/29 8:30 ET Advance Trade in Goods
8/30 8:30 ET Pers. Inc. and Cons. Spend.
8/30 8:30 ET Core Inflation
8/30 9:45 ET Chicago PMI

Key Economic Events Week of 8/19

8/21 10:00 ET Existing home sales
8/21 2:00 ET July FOMC minutes
8/22 9:45 ET Markit Manu and Svc PMIs
8/22 Jackson Holedown begins
8/23 10:00 ET Chief Goon Powell speaks

Key Economic Events Week of 8/12

8/13 8:30 ET Consumer Price Index
8/14 8:30 ET Retail Sales
8/14 8:30 ET Productivity & Labor Costs
8/14 8:30 ET Philly Fed
8/14 9:15 ET Ind Prod and Cap Ute
8/14 10:00 ET Business Inventories
8/15 8:30 ET Housing Starts & Bldg Permits

Key Economic Events Week of 8/5

8/5 9:45 ET Markit services PMI
8/5 10:00 ET ISM services PMI
8/6 10:00 ET Job Openings
8/8 10:00 ET Wholesale Inventories
8/9 8:30 ET Producer Price Index

Key Economic Events Week of 7/29

7/30 8:30 ET Personal Inc/Spending & Core Inflation
7/30 10:00 ET Consumer Confidence
7/31 8:15 ET ADP employment
7/31 2:00 pm ET FOMC Fedlines
7/31 2:30 pm ET CGP presser
8/1 9:45 ET Markit Manu PMI
8/1 10:00 ET ISM Manu PMI
8/2 8:30 ET BLSBS
8/2 10:00 ET Factory Orders

Key Economic Events Week of 7/22

7/23 10:00 ET Existing home sales
7/23 10:00 ET Richmond Fed Manu Idx
7/24 9:45 ET flash Markit PMIs
7/25 8:00 ET Count Draghi/ECB policy meeting
7/25 8:30 ET Durable Goods
7/25 8:30 ET Wholesale Inventories
7/26 8:30 ET Q2 GDP first guess

Key Economic Events Week of 7/15

7/15 8:30 ET Empire State Fed Index
7/16 8:30 ET Retail Sales and Import Price Index
7/16 9:15 ET Cap Ute and Ind Prod
7/16 10:00 ET Business Inventories
7/17 8:30 ET Housing Starts and Building Permits
7/18 8:30 ET Philly Fed
7/19 10:00 ET Consumer Sentiment

Forum Discussion