Starting Tuesday

Tue, Dec 13, 2011 - 10:02am

No time for a complete post this morning but there are several items to which I'd like to draw your attention.

First of all, The Turd is like most everyone else...I enjoy a little notoriety. Someone emailed me a notice that I had been mentioned in FOFOA's latest column. Naturally, I went to the site and read it. It turns out that this is a very good piece and something you should definitely take the time to read.

The article makes several references to Santa's recent interview on KWN. Again, if you haven't yet taken the time to listen, I strongly encourage you to do so.

After the $50 drop yesterday, let's all be on the lookout for the OI numbers when they are reported this afternoon. If what I suspect is correct...namely that the "MFG Rehypothecation Awareness Program" and strongly negative lease rates were to blame for yesterday's drop...then I would expect to see a drop in OI on the order of 5000-10000 contracts, maybe even more. Why, you ask? The Cartel short position probably finished flat to down a little, day-over-day, as the new shorts that were added at the open yesterday were covered late in the session as gold moved off of its morning lows. The spec long position likely declined considerably for the reasons discussed back on Sunday night. Namely, in the wake of the "MFGRAP", why would anyone own paper metal???

One more thing on OI. Harvey has been drawing attention to the growing OI of the Dec11 contract:

"In another shocker, the front delivery month of December mysteriously saw its OI rise from 1356 to 1545 for a gain of 189 contracts despite 276 deliveries on Friday. Thus we gained 465 contracts or 46,500 oz of gold standing."

This is a very intriguing development and must be watched closely. As I understand it, to "jump the queue" at this point and purchase a Dec11 contract, an entity must immediately put up 100% margin with the intent to take delivery. To add 465 contracts this late in a delivery month is highly unusual. That's about $79MM in gold that someone is trying to buy, and take delivery of, as soon as possible...not wanting to wait for February. A very intriguing development, indeed.

More later. Be safe. TF

p.s. Several folks have asked me for a crude oil chart. Here you go.

And I forgot to include this. More fuel to the reports of US troops in Jordan. Do you think Assad believes they are "defensive" in nature after seeing Afghanistan, Iraq and Libya fall? What are the chances he just idly sits and hopes for the best?

About the Author

turd [at] tfmetalsreport [dot] com ()


Dec 13, 2011 - 10:04am



Dec 13, 2011 - 10:04am



Dec 13, 2011 - 10:08am

ah Turds i guess then


looks like my wait for sub 1600 might take a lil longer

tis cool

long Phizz anyways

good morning to alll

Dec 13, 2011 - 10:15am

It sure seems like the

It sure seems like the paper market is breaking down. True price discovery for physical metal may be just around the corner.

Dec 13, 2011 - 10:18am

Let's take a guess here ...

Iran blocks the Straight of Hormuze at 10:00am. Oil and all other commodities jump - check

BB hints or announces some sort of additional easing today at 2:15pm. Oil and all other commodities really jump especially our beloved PM's

All the so called experts comment PM's are only up because of said imminent military action. It has nothing to do with inflation or BB announcements. Right

Dr G
Dec 13, 2011 - 10:28am

Commodities complex up as a

Commodities complex up as a result of Iranian moves.

Oil straight up:

EDIT: saw I'm a little late with that post :)

Dec 13, 2011 - 10:28am
Dec 13, 2011 - 10:32am

Go Jan!

Good interview by the inimitable Skoylesy with MP Steve Baker in UK about reform of the monetary system - nice to see rays of light through the gloom....

Dr G
Dec 13, 2011 - 10:48am

Nice commodities head fake.

Nice commodities head fake. Spike up, waterfall down. Nothing to see here.

Dec 13, 2011 - 10:49am

Oh well

That didn't last long

clueless one
Dec 13, 2011 - 10:51am


Just contacted my LCS..

ASE's at $37ea. They've been really good, usually very close to the internet prices until lately, less shipping, of course.


Looks like you'd better suck'em up as cheap as you can find them...or whatever you can find for that matter. No waitin around for that sub $30 metal...they ain't gonna give it away. The word is spreading fast...almost as fast as the Euro is falling!!! Have u seen the 1min chart ???



Dec 13, 2011 - 10:51am
Dec 13, 2011 - 10:52am
Frankenstein Government
Dec 13, 2011 - 10:54am

Turd Has Been Freaky Right Lately...

I've been truly impressed by your insight lately TF. I've been waiting to pull the trigger on another 150 oz. silver and a few more ounces of gold. Still think silver due for an incredible run after this correction is over.. I will not be waiting until Italy has to refinance that 300 billion in debt this Feb.

Dec 13, 2011 - 11:05am

Euro @ 1.30...interesting.

Euro @ 1.30...interesting.

Dec 13, 2011 - 11:07am

The Judge and Beck

First of all, I think by now you all know that The Judge's program is the only show on TV that I regularly watch. Though I'm not a strict Libertarian, The Judge is and he's consistent about it. No waffling and no wavering. I like that a lot.

Back on Friday, The Judge had two segments with Glenn Beck. The first segment is the best. I found a couple of items in segment 2 that I didn't necessarily agree with. Regardless, this is worth your time to watch.

Note: If, after watching, all you're going to do is spout your hate of Glenn Beck then I encourage you to NOT watch this clip and simply move on.

Also, for anyone interested, I'm currently about halfway through "Being George Washington". I recommend it.

Dec 13, 2011 - 11:19am


POSX over 80 means even more pressure on gold and commodities, in general. Take a look at Trader Dan's CCI chart from yesterday.

I recall mentioning some time ago that this looked like it could go to 500. Looks even more likely with the POSX at 80+.

Be Prepared
Dec 13, 2011 - 11:19am

Hear the Train a Comin'

I hear the train a comin'
It's rollin' 'round the bend,
And I ain't seen the sunshine,
Since, I don't know when,
I'm stuck in the FEMA Prison,
And time keeps draggin' on,
But that train keeps a-rollin',
On down to San Antone.

Dec 13, 2011 - 11:19am

The Money Masters. This is

The Money Masters. This is one of the most important videos dealing with the crisis as a whole:

It was released in 1996, warned of the crisis that arrived and offers a solution to our debt based monetary system.

Yes, it's long but well worth the time!

Dec 13, 2011 - 11:27am

Thanks TF.

Seems to Me, this que jumping is bullish, kind of make "reports of bulk above spot" all the more credible.

Great Work, TF.

Que jumpers, got me thinking, if Comex is primarily a paper vs. physical exchange.

As per its own rules, can settle with shares of a similar commodity ETF, or shares of GLD, might this increase in Dec's gold contract be a play to get large holdings of GLD Shares?

To convert GLD Shares to Physical, as per the prospectus is possible, but difficult for anyone but, Authorized participants, and holders of vast blocks of shares.

Is someone getting bullion out of GLD?

Seems bullish to Me but WTFDIK

Blue Sky
Dec 13, 2011 - 11:38am

Pandora's Box explodes!

This article was linked through Ed Steer's column and in effect diaries the rise and fall of an inveterate gambler. All the loose jaws at MFing Global are flapping.

This is shocking in its detail, a must read for everyone on this blog who has been trying to penetrate the clouds of deception surrounding this issue. Jail is too good for this man if this article has even a grain of truth to it.

Dec 13, 2011 - 11:38am

Strait not blocked Updated report!!

After I bought my jan long oiler calls Ransquawk updates news Hormuz not blocked but oil did jump 3 dollars on initial report.

Jumpy Markets or What.

I'm still happy buying oil calls.


Dec 13, 2011 - 11:45am

Canadian Banks vs Credit Unions

Are there any Canadian Turds that have an opinion on Canadian banks vs Credit Unions. Considering moving to Meridian credit union and out of TD Bank (Toronto Dominion). They also use Qtrade as their discount brokerage. Both are Canadian with no international connections. Any info would be much appreciated. Looking to avoid a MFG scenario.

Bay of Pigs
Dec 13, 2011 - 11:45am


Is no store of value. Give it a few more days, weeks, months....whatever. It's not going to last. That is a mathematical certainty.

$2.5 Trillion reasons why just in 2012 alone (rolling that amount of debt).

And who is now long Euro's? Haha....nobody. Used to be the other way around not too long ago.

Bullets Beans Bullion
Dec 13, 2011 - 11:51am

Next up

The closure of Hormuz might have been a false alrm but this is surely next:

US Special Forces Mass On Syrian Border

Dec 13, 2011 - 12:00pm

I recall saying at some point

I recall saying at some point that QEIII will arrive somewhere around 82-83 DXY

This afternoon will be interesting with oil where it is.

Dr G
Dec 13, 2011 - 12:00pm

BOP is right on the money.

BOP is right on the money. Euro is burning, which means money into the USD. Soon the USD will take center stage. When it happens none of us will want it to happen, but it will, so prepare while you can.

Dr G
Dec 13, 2011 - 12:01pm

@Shill, and wait until Iran

@Shill, and wait until Iran actually begins their war games. Oil even further up then.

Dec 13, 2011 - 12:04pm

Chinese Still Buying Gold Big Time...

Chinese still buying gold big time -huge imports in October


Chinese gold imports through Hong Kong, the main route for gold to reach mainland China, hit yet another new record in October according to Hong Kong government statistics. The October total was 85.7 tonnes - 50% up on the September figure which was itself a new record and a massive 40 times higher than imports via this route a year ago. Indeed the amount imported through Hong Kong amounted to over a quarter of estimated World demand for the yellow metal. Indeed it is the fourth successive month of record imports into China and overall imports through Hong Kong for the first 10 months of the year are around three times higher than a year ago..


Funny, the Chinese still keep buying Gold and here in the states we create more derivatives, buy crap for Christmas on credit and go long the Dollar. As we can see... "Everything is still fine".

Dec 13, 2011 - 12:18pm

Pakistan Nukes New Dealio !

Gold limit down ! These manipulators have "HUBRIS" ! Monedas 2011 Comedy Jihad Second Chance To Use That Word ! PSA: "Hubris" is the new "Liberalspeak" for Chutzpah (sp?) which has obvious Zionist overtones !

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