Sprott Money Weekly Wrap-up with Andrew Maguire

Fri, May 13, 2016 - 11:39am

As most of you know, each week I assist the good folks at Sprott Money with their "Weekly Wrap-up" segment. With Eric unavailable this week, I was able to line up a special guest appearance from our pal, Andrew Maguire. The resulting audio is an absolute must listen for everyone at TFMR and the greater metals community, at large.

Just a few of the topics addressed by Andy in this podcast:

  • The resilience of paper prices, supported by the steady rise of wholesale prices in London
  • The importance of the $1308 level in gold
  • How physical-only exchanges like the SGE and ABX are changing the global gold market landscape
  • The impact the new Shanghai Fixes are having on the spot market
  • And much, much more.

Again, please take the time to listen and re-listen to this audio. The global gold market is far more vast than the Comex-centric wave-counters would have you believe. To understand it, you need wisdom and experience and we should all be grateful to Andy for sharing some of his with us today.


Sprott Money Link: https://www.sprottmoney.com/blog/may-13-2016.html?mw_aref=f4acdd227eeba8...

About the Author

turd [at] tfmetalsreport [dot] com ()


May 13, 2016 - 11:46am

Understanding the GLOBAL gold market

To that end, if you haven't yet read this extraordinarily thorough new report from Paul Mylchreest, I suggest you do so ASAP.


May 13, 2016 - 1:43pm


While many may have a feeling of being "whipsawed" by the pm markets this week, I am encouraged by the resiliancy of the gains.

...oh....and SECOND!!! yeehaww!!!!!

May 13, 2016 - 1:51pm


Wow my first first this month. I have been holidaying in the Cape Cod area and have found coin shops reluctant to sell ASE's below $23. I did pick up a few unusual silver rounds for $20 Each.These were bicentennial 1976 1 ounce silver coins from Shreve, Crump and Low. They had a sailing ship on one side and Paul Revere silversmith on the other side. They had a certificate of authentication indicating a limited edition of 5000. Nice coin anybody seen any of these? Some of the other coins had Faneuil Hall on the other side.

May 13, 2016 - 1:54pm

the early bird catches the worm<3

*loved...LOCO LONDON!!!*

May 13, 2016 - 2:13pm


????? Well I'll be a Monkey's Uncle. Keep Stacking

May 13, 2016 - 2:30pm

Great stuff!!!

Great stuff!!!

May 13, 2016 - 2:45pm


Hahaha He said Naked Longs!

Have a good weekend everyone

Mr. Fix
May 13, 2016 - 2:57pm

Well worth reading

Sure, most of us have lost any respect for governmental agencies, but instead of calling the employees stupid, has it ever occur to you that the entire concept of authority figures is evil to the core?

People need to start rethinking everything.

Start here:

Heretical Thoughts And Doing The Unthinkable

Submitted by Tyler Durden on 05/13/2016 - 14:50

According to the “social contract theory,” we all have our roles and responsibilities. As citizens, we have a duty to inform ourselves, pay our taxes, rat out our neighbors, vote, volunteer for military service, get frisked by the TSA... and let ourselves get robbed and bullied by every jackass in a position of power. Our leaders have responsibilities, too. They are supposed to respect the constitution, except when it is inconvenient for them. Our “leaders” – aka the Deep State – can change the terms any time they want. What kind of contract is it where one party can change the deal and the other can’t? And where the other party was never given the opportunity to negotiate it, or even approve it? It’s not a contract at all. It’s just part of the mythology of modern democracy.

J Siefert
May 13, 2016 - 3:59pm
May 13, 2016 - 5:14pm

More on the Clinton's Cash

More on the Clinton's Cash and where it came from....


This is another piece from Yahoo's front page. Something is up and it might have more to do with their sudden wealth (about $200 M) than the witch's email debacle.

May 13, 2016 - 5:24pm

From Zeal

"The bottom line is the gold miners’ fundamentals were very strong in just-reported Q1’16. Despite the powerful new gold bull this year, their low all-in sustaining costs didn’t even rise. Way down at an average of just $833 per ounce, the operating profitability of the gold-mining industry is already surging to leverage gold’s advance. Eventually these rapidly-rising earnings will be reflected in falling P/Es.

Gold-mining valuations look the worst after major secular gold lows, due to the non-cash write-downs they spawn. Then as gold shifts from bear to bull mode, profits rise faster than stock prices on balance pushing valuations down. This will become evident as this year’s sharp initial mean-reversion-rebound gains moderate. The gold miners’ strong Q1’16 results prove their stocks’ big gains are fundamentally justified."


May 13, 2016 - 6:31pm


GLD gained 5.94 tonnes of gold today.

SLV no change.

May 13, 2016 - 6:58pm
May 13, 2016 - 7:41pm

Something big is happening with gold

I am surprised to see this title from Business Insider:

There's a 'very dangerous situation' taking place in the COMEX's gold vault


keep stackin' and stack'em high

May 13, 2016 - 8:09pm

It's Dynamite

On Andrew's suggestion went to King World News and listened to Eric Kings interview with Sprott"s John Embry. It is absolutely electric. Don't go over to King world very often, but if you trade PM shares and toy think you know something-, guess again. You need need to listen to the advice of a man who has been in the PM markets for fifty years. That's right (no typo) 50 years.

If you do not....TFB for you.

It's that good.


May 13, 2016 - 8:19pm

Holy cow... Cashonly is right. Stunning.

Cashonly, I am sitting here rendered speechless by your post- you are absolutely right. Seeing a "Daily Reckoning" article on how all the gold is gone, the Comex vaults are empty, there are 400+ claims for every actual ounce and paper is about to burn... well, this doesn't surprise anyone here. What shocks me is that all this was reprinted in the F*ing Business Insider at noon today!!!

Folks, the mainstream financial press doesn't do this... Ever. It's gauche, it's disreputable tinfoil hat stuff better left to fringe blogs. It's not how respectable news organs operate, darling. But here it is, right out there in the open where people that matter might see! Look:

Most of this gold moved out of the West (London, Zurich, New York) to the East (China, Russia, India, Middle East). It’s gone forever … certainly from the West. It was nice while it lasted.

That kind of talk has been absolutely forbidden in the mainstream press for four years running. I cannot quite wrap my head around this, but cash only is right... something big is going on. Either a junior writer went way off the reservation and snuck one past the editors, OR there is a huge shift in the winds, and things previously only spoken of in whispers and at TFMR are about to go mainstream...

May 13, 2016 - 8:43pm

RE : Something big is happening with gold

If I was Craig, I'd send them a terse comment.... "No Sh!t, Sherlock !!!"

I can't help but wonder what woke them up ???

Think I'll pick up an ounce tonight.

May 13, 2016 - 8:47pm


Many of my junior exploration stocks are seeing elevated volume. Something is coming. It makes sense. This correction is so long in the tooth. Bonzai

May 13, 2016 - 8:59pm


I bet the writer is a member here at TF Metals! , He sounds just like Turd!!

......hmmm, Turd has been moonlighting a bit hasn't he?

May 13, 2016 - 9:12pm

Whoa, slow down boys!

Why would BI reprint such an article? Who pays for advertising on their site? Banks, investment houses and brokers. What's the first rule for that whole group? Never , ever, ever, let your customers buy physical metal. Once that money goes there, 1) it may not come back and 2) no commish for them. If they are going to sell gold, they are selling GLD.

Not only should they buy phyzz they need to buy miners as well? Whaaaat? If they are going to sell miners they will always sell the big boys- Newmont, Barrick, Freeport, etc. I can't recall the particulars but didn't Barrick have side deals with the banks that helped them control the price of gold years ago?

Then we learn that JP Morgan makes a call for everyone to buy gold, including Central Banks? Is it just possible that this is a maneuver to suck in newbies? Use some of those thousands of short contracts to drop the hammer down and make sure they will not want to invest in the market again.

Rinse and repeat.

*edit- bring it on f***ers

May 13, 2016 - 9:36pm

Murph... It could be, or...

Shake 'n Bake! They're getting ready to cover those shorts, let'er rip (either because they see profit, or because they just have to at this point) and let those miners slingshot right past! They've been shorting gold and hedging an equal amount of long mining shares (which explains your post from Brent at Santiago, tweeting that juniors are up 55% while gold is flat).

Now they have that big mining share position, it's time to let the metals run and leverage their profits 6-8 times in the miners! Close those naked shorts and... Shake and bake! But they need a cover story, so JPM says buy gold 'cause it's great, and now suddenly Business Insider is reposting goldbug stuff from the Daily Reckoning talking about how scarce the physical is... Perfect. Shake and Bake!

Slingshot engaged...

May 13, 2016 - 9:49pm


I'm ready to see it, maybe this weekend?

I don't think they're ready to let go yet. Maybe one or two more trips to 1300 and back to 1260.

When bankers tell the truth they always lie about the timing.

May 13, 2016 - 10:04pm


May 13, 2016 - 10:29pm


You may well be right on your hypothesis and kudos for stating it so succintly. I am of the opposite mind, however. I think they have spent the last four months positioning themselves for a physical and miner moonshot. They have, I believe, suppressed the price of gold through their various methods so as not to alert the plebes of what they are up to. I think the TBTF banks and the central banks are hoovering up as much gold and miners as they can while 99% of the population is asleep and unaware. If the price of gold was allowed to rise very far, it would be noticed by many more people. Thus the 'only' $200 upward move over the last 4 months. Unfettered and unsuppressed, the move would have been, at least, twice that much. I think the main area of interest for them was the miners that had been beaten to record low levels. How else do you account for the near parabolic moves in many of them on very heavy volume. The 'average' plebe did not wake up one day and suddenly decide to buy the miners en-masse. No, I believe it was the 'smart' money that lit that fuse that burns brightly to this day. Now, to really get this party rockin', they need to get the sheeple to participate in this arena. How better to do it than to 'leak' articles like the one mentioned above or mention something on CNBC. Slowly but surely, you will see more and more MSM pieces like the article linked above to get people to buy PM's and miners. The article getting more dire as time goes along. This will send the price of both much higher, raking in enormous profits for the banks and people like us, who were awake the whole time. It promises to be a rally for the ages, I am thinking. The spring was coiled so tight for 4 years, especially in the miners, that a reversion to the mean or, more likely, a substantial overshoot to the upside as it did on the downside, is likely. Barring a catastrophic economic collapse that results in the banks and stock market closing for an extended period of time and a reset occuring, the people who have physical and miners should come out smelling like a rose. We may be the only ones that do in the end.

May 13, 2016 - 10:31pm

Round about observation

about retail today. While in a suburban bank branch, I'm cashing a check and ask for 10 hundreds. I clean the teller out of his and the drawer next to him. He says he's sorry, they got cleaned out of hundreds.

I know they usually get their delivery of new money on Tuesday or Wednesday. I say to him, it's unusual for you guys to run out on a Friday. He says, yea I know. We normally get 30K in large bills and along with all the deposits we take from local retailers it's all we need.

This area consists of more upscale retail in an affluent residential area. I am in the wholesale business selling to retailers for 35 years. I know the amount of retail take cash has dried up considerably. Years ago the take was 50% cash, 25% credit card and 25% checks. Today it's more like 80% credit card and 20% cash (if that).

What's the take away? Even with such as small percentage of cash coming in that they are depending on, there was still not enough. Or, possibly other customers pulled out more cash than normal but I highly doubt that. So either cash retail is way down or there's not enough cash being delivered to the branch.

Just sayin'.

Dyna mo hum
May 13, 2016 - 10:33pm
murphy sakelley
May 13, 2016 - 10:38pm


Even better said by you! I think the we are both right, it's always just a question about timing.

May 13, 2016 - 11:01pm

Excellent podcast

That is the most upbeat & enthusiastic that Andy has ever been, at least that I remember. Stay positive everyone !

May 13, 2016 - 11:24pm

Trust Them to not do the right thing

Good watch here

CoinWeek IQ: 7 Things Silver Stackers & Gold Bugs Should Know About the Precious Metals Market
May 14, 2016 - 12:01am


Andy, toward the end of his Sprott interview with Turd, used the words "imminent reset." ("...central banks are moving into gold while rigging paper markets lower, ahead of an imminent reset" see 17:24) How many times in the last many years have you heard or read a commentator use the sentence "Just because something is inevitable doesn't mean that it is imminent." A dozen times? I'm pretty sure Turd has said this more than once. I learned to hate it.

Now if Andy is correct, we are looking at events that are both inevitable and imminent... could it be? In defining the word imminent, the dictionary gives a pretty broad scope to the meaning; ranging from 'around the corner' to 'over the horizon.' So obviously we still can't predict when a reset will happen, exactly. He does mention the key $1308 price. We can say something else though.

So let me say something you have probably never heard.


Think about that one, then go stack a little.

- H.


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