Harvey Organ Should Be An Interesting Read Today

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Tue, Oct 30, 2012 - 9:15pm
DayStar
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~~Harvey 30 Oct 2012

This is DayStar (DS) with the Tuesday Harvey Report.

GoldCore: Gold is moving higher on Tuesday as the dollar has weakened possibly on concerns that Sandy may derail an already fragile economic recovery. DS: Since when have fundamentals made any difference. The market is what the PPT and JPM say it is.

GoldCore: Hurricane Sandy is affecting the bullion market by lowering trading volumes. DS: Yeah, kinda hard to trade when the exchange is underwater (get it? "underwater").

GoldCore: Some Turkish banks are now offering customers the ability to use their gold based deposits for collateral on gold backed loans while others are allowing Turks to access to Turkish Lira or credit cards for gold or jewelry accounts, sort of like a pawn shop. Government efforts to help ease the nation’s current account deficit are encouraging householders to bring their gold coins which it is estimated that there are $302 billion of hidden gold stashed in homes. The amount of Turkish privately held is second only to the US, and Turkish government's efforts to increase gold based deposit accounts have succeeded as gold based accounts grew 15% this year ending in July. This is a 3 fold increase in standard gold savings accounts according to the Turkish Central Bank. The gold accounts give customers an amount in Turkish lira equivalent to the weight of the precious metal they deposit in the bank. Bank customers can then withdraw cash or take out loans, while the bank is able to sell or hold onto the gold. Turkiye Is Bankasi AS (ISCTR), Turkey’s largest bank by assets, said gold deposits increased 10 times in the two years through June. The campaign by Turkey’s banks, featuring ads for “golden age” accounts and products such as gold gift checks, is targeted at Turks who traditionally give gold coins or jewellery as presents at weddings, births and circumcision ceremonies. The custom gained popularity a decade ago as Turkey’s inflation rate topped 70%, making gold an attractive store of wealth. Turkey aims to reduce gold imports and external borrowing, according to Erdal Aral, deputy chief executive officer of Isbank. “We have to get the gold that’s out there into the financial system,” DS: The people who put their gold in these accounts are going to be very, very sorry. This is a means to confiscate the gold, and when the fit hits the Shan this gold will be gone and the Lira will be worthless.

JSMineset: There was an account tonight that the German government will enact legislation to force banks to not only register the names of the owners of safety deposit boxes with a "special" government department, but to divulge what is in each box. In addition, all transactions along with the dates of said transactions must be dutifully recorded by the banks after said legislation is passed. Of course, spokesmen for the German government are emphasizing that this will all be done to protect German citizens from "terror" and to discourage money laundering (the usual excuses to take away our liberties!).

Ranting Andy (Miles Franklin): The more ARTIFICIAL stimulus the central banks inject, the less benefit they are gaining, to the point that - eventually - more stimulus generates a NEGATIVE benefit. Which is EXACTLY what occurred today. When QE9 was announced just before 2:00 AM EST, the Yen rocketed higher against the dollar. In other words, the operation not only instantaneously failed; but actually HARMED Japanese industry. DS: In the flying business we called this control reversal. In some airplanes it happened when you got too high of an angle of attack, and then you were in a world of hurt, because your native flying skills would then work against you. At control reversal you were so far behind the power curve that the airplane responded the reverse to control movements of what it normally would. It looks to me like the Japanese bank is now so far behind the power curve that up is down and down is up. God help us all! On top of the loss of the effectiveness of QE, China is threatening to dump bonds, sending up interest rates, a potential catastrophe for Japan. Lindsey Williams said one of the indicators of final collapse would be trade wars. The Japan/China trade war is one Lindsey's signs of imminent economic collapse. The other two are currency wars and an increase in interest rates.

John Embry via King World News: The Western central bank gold price suppression conspiracy will make the LIBOR rigging conspiracy look small, Sprott Asset Management's John Embry tells King World News. He adds that Eastern central banks are growing to love the gold price takedowns so they can acquire more metal at a discount.

James Turk via KWN: James Turk says the foreign vaulting of Germany's gold reserves is likely remains a form of reparations for World War II, meant to deny the reconstituted nation enough sovereignty to make war again. Gold reserve repatriation, Turk adds, likely will be an upward force in the gold market for some time.

Jack Farchy (London Financial Times): The real "Romney risk" for the yellow metal has nothing to do with fiscal policy. Instead, traders and investors are focusing on the likelihood that if Mr Romney wins the November 6 election, he would replace Ben Bernanke with a more hawkish chairman of the Federal Reserve when the latter’s term expires in January 2014. If that means a change in direction from the Fed’s current experimental and super-accommodative monetary policy, gold could suffer. DS: Would replacing Berneke make any difference in the outcome of runaway deficits and money printing? China has already started the process of liberating trillions of unwanted greenbacks because of trade agreements made in other currencies. These trillions will be coming home to inflate the price of goods. No one can stop printing entirely without completely collapsing the system, because we have to print to buy treasuries to finance the insatiatiable appetite of government spending. There is also the little of matter of $160 trillion or so in unfunded liabilities (e.g. Medicare, social security, pensions, etc.). There can be no good ending to this, no matter who is at the helm. This presidential election is about who gets to preside over and get the credit for the collapse of the US economy.

Emma Ross-Thomas: While the tax hikes Rajoy’s implementing as part of his austerity program are depressing consumption, they are also spurring inflation, which threatens to add 3 billion euros ($3.9 billion) to the country’s pension bill. DS: Inflation is a monetary phenomena where money printed out of thin air goes into circulation, or a psychological thing where people are fearful the loss of value of their money and start to spend it on anything they think might hold value. What apparently happened in Spain is that people front run the VAT tax implementation and put their money in goods before the VAT went into effect.

Reuters: Spain's northern region of Cantabria on Monday became the ninth region to request a credit line recently established by the central government to cover liquidity needs. It said it would tap the €18B fund for €137M. Recall that other regions have already tapped the credit line for close to €17B.

Zero Hedge: With Greece poised to vote on critical labor reforms (read more layoffs) next week, which must be passed in Parliament with a majority vote in order to get the next Troika bailout tranche, the Samaras-led coalition just lost one of its three members, after the Democratic Left announced it would take its 16 votes and vote against any further austerity. In doing so it has effectively joined Syriza and any other anti-bailout powers, and has made certain that yet another Greek election is imminent, one which will finally see the rise of the "anti-memorandum" forces on top, and finally launch the 3 year overdue departure of the Greek ferryboat from the monetary landmass, with even more dire consequences for the USS EURtanic. DS: So let it be written...so let it be done! Dum dum dum! <g> It's after the election, right? So anything goes, but in all fairness, the PM Samaras has the votes to pass the workers rights legislation without the Democratic Left. However, the move by the Democratic Left encourages the remaining junior partner in the coalition to vote with Samaras. It is likely, however that elections will come soon, and with the elections will come a change of government and the removal of Greece from the Euro.

Harvey: With the USA paralyzed due to the power outages caused by Sandy, both China and Japan announced further stimulation packages. China announced a 395 billion yuan quantitative easing (64 billion usa). Japan announced QE9 worth about 11 trillion yen (138 billion usa). The problem in Japan is that the announced intervention had the opposite effect as the yen strengthened and hurt their economy instead of helped.

Harvey's comments on Tuesday's price action (basis 1:30 PM EST)

Quote:

Gold closed up today to the tune of $2.30 at $1710.80.

Silver rose by 8 cents to $31.81.

Monday, Oct 29th Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/10/hurricane-sandy-causes-huge.html

Total, Oct (Gold), Nov (Silver), Dec (Silver and Gold) Open Interest

In silver

Quote:

The total silver Comex OI continues to mildly contract. Today the OI dropped by 814 contracts from 137,639 down to 136,825. The October contract month is now off the board. The non active November contract saw it's OI from 12 contracts from 56 down to 44. The big December contract saw it's OI fall by 1101 contracts from 77,435 down to 76,334.

In gold

Quote:

The total Comex gold open interest fell by 1196 contracts from 454,620 down to 453,424.

The October contract month is now off the board. The non active November gold contract month saw it's

OI fall from 328 down to 304 for a loss of 24 contracts. The next big active month for gold is December and here the OI fell by 2366 contracts from 310,356 down to 307,992. The estimated volume today was very weak at 59,495.

Volume

In silver

Quote:

The estimated volume today was a very anemic 16,132.

The confirmed volume yesterday was also bad at 17,734.

In gold

Quote:

The confirmed volume yesterday was also weak at 60,715.

Obviously the storm had a lot to do with volume today and yesterday.

Inventory Numbers

In silver:

Quote:

Again, we had no activity inside the silver vaults today.

We had no dealer deposit and no dealer withdrawal.

The customer had no deposits and no withdrawals;

We had no adjustments.

Registered silver remains at: 36,972 million oz.

Total of all silver: 142.416 million oz.

In gold:

Quote:

Today, we again had no activity inside the gold vaults.

The dealer had no deposits and no withdrawals.

The customer had no deposits and no withdrawals.

There were no adjustments.

Thus the dealer inventory rests tonight at 2.7349 million oz (85.06) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 24 notices filed for 120,000 oz.

In gold:

Quote:

The CME reported that we had a final 8 notices filed for 800 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month total 518 contracts or 2,490,000 oz of silver.

Thus the total number of silver ounces standing in this non active delivery month of October is as follows:

518 contracts x 5000 oz per contract = 2,590,000 oz

we neither gained nor lost any silver standing.

Thus the final standing for silver in the non active month of October is 2,590,000 oz which is an excellent showing for silver.

In gold:

Quote:

The total number of notices filed so far this month is represented by 7131 contracts or 713,100 oz of gold. Since October is off the screen we can now give you the final standings for gold:

The total number of gold ounces standing in October is as follows:

7131 contracts x 100 oz per contract = 713,100 oz or 22.18 tonnes of gold.

The total physical amount of gold standing in October is awesome for what is generally perceived to be a very tiny delivery month. The amount standing equates to 26.07% of total dealer inventory.

Also please note that for the entire month zero oz of gold was withdrawn by the dealer to serve upon our longs.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 1043 down 0.48%. WTI crude was 85.57 up 0.03 today. Brent closed at 110.34, up 0.23. The spread between Brent and WTI was 24.77 up 0.20. US Treasury 30 year was 2.918 down 0.063. The dollar was down 0.32 points at 79.91. The PPT/Dow was unchanged. Silver closed at $31.75. The November CCI was 564.90, unchanged. December wheat was down 1.20 at 856.60. December corn was up 4.60 at 741.60. December lean hogs were up 0.300 at 78.100. January feeder cattle were 148.725 down 0.775. December copper was 3.5060 up 0.0115. December natural gas was down 0.112 to close at 3.691. December coal is 59.50 up 0.07.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

Wed, Oct 31, 2012 - 10:06pm
DayStar
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Joined: Jun 14, 2011
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~~Harvey 31 Oct 2011

This is DayStar (DS) with the Wednesday Harvey Report.

DS: Jim Sinclair published a piece today in which he once again repeated his belief that the government will not confiscate gold. He says they confiscatated gold in 1933 in order to allow QE. Now they can just print digidollars and accomplish QE without resorting to confiscation of gold. GATA rightly observes there is no absolute assurance about what the U.S. government will do as it grows more power-mad every day. As it confirmed officially to GATA in 2005, the Treasury Department claims the power, upon proclamation of an emergency by the president, to seize or freeze not only any gold or silver or gold- or silver-related asset but also to seize or freeze any financial asset. The government does want the gold and silver, because it represents real, imperishable money, liberty money, free from the tyranny of the state. They are already coming after it by forcing a long, miserable recession where people sell their gold and silver to try to maintain their standard of living. They are already coming after it by the cartel sponsoring chains of We Buy Gold stores. They are already coming after it by accepting it as collateral, collateral that will probably never be returned. They are already coming after it by squelching the natural response of gold and silver to a dying currency and thereby discouraging many investors who see little or no return on the fiat they spent for gold and silver and who dishorde their stash in dispair and disgust. They are coming after the PMs. Ultimately, they will scrounge the countryside looking for hordes that remain after the war killed so many millions of Americans. By then silver will be more valuable than gold, and because the population will have been so reduced, the PMs will be easy to pry from the cold dead fingers of those that didn't make it.

Bloomberg: The devastation of Hurricane Sandy will be a further blow to the already fragile U.S. economy. The destruction of property and vital infrastructure - two of the vital components in the wealth of a nation is negative for the economy. The last thing the over indebted families and close to default U.S. government needs are more very expensive reconstruction works. Reconstruction and 'stimulus' has to be paid for either by the tax payer in the form of taxes or a further increase in the money supply and inflation.

GoldCore: The Financial Times had an interesting article that suggested that Mitt Romney is a "threat to the gold price" (see news) and quoted an executive in a jewellery group who said that “if Obama gets re-elected gold is going to go through the roof.” The truth is that, gold is likely to go much higher in the course of the 45th President's 4 year term - whether there is a President Obama or a President Romney. It is therefore ironic that the single greatest risk to gold at the moment is probably a Romney victory in next Tuesday’s presidential elections. “A win by Romney is generally seen by investors as a downside risk for gold,” says Joni Teves of UBS. A surprise win by Romney could lead to very short term gold weakness but the scale of the fiscal and monetary challenges facing the White House and Federal Reserve mean that the down side risk is short term and limited and investors should continue to fade the noise and focus on the long term diversification benefits of gold. However, gold will not suffer when there is a change and a move away from ultra, ultra loose monetary policies. As was seen in 1980, gold’s secular bull market is likely to end if the Federal Reserve again achieves positive real interest rates. As was seen in 1980, gold will only fall towards the end of the interest rate tightening cycle - this could take many years. “Likewise, an Obama victory may be the green flag gold bulls have been waiting for.”

Ben Traynor (BullionVault): Wholesale gold bullion prices rallied to a one-week high at $1720 an ounce Wednesday morning in London, though they still looked set to record a loss on the month, while European stocks opened higher before losing some ground, and US markets prepared to re-open after being closed for two days. Silver bullion climbed to $32.37 an ounce, also up on the week, while oil and copper ticked higher and US Treasury bonds fell. By Wednesday lunchtime in London, gold bullion looked set to record its first monthly loss since May, with spot gold trading nearly 3% below where it started October.

Chris Powell (GATA): Bill Haynes of CMI Gold and Silver wonders whether the clamor over the foreign vaulting of Germany's gold and indications that the gold has been used for surreptitious market intervention will be the trigger for an explosion in the gold price. Maybe, but only if buyers take delivery of real metal, not paper, and remove the metal from the clutches of the banking system and governments.

Reuters: Iranians can no longer export gold without approval by the central bank, an official was quoted as saying on Wednesday, in a new effort by the government to restrict outflows of wealth.

The move follows media reports on Tuesday that Iran had banned the export of some 50 basic goods, as the country moves to secure supplies of essential items in the face of tightening Western sanctions that have destabilised its currency, the rial. Iranians can no longer export gold without approval by the central bank, an official was quoted as saying on Wednesday, in a new effort by the government to restrict outflows of wealth.

The move follows media reports on Tuesday that Iran had banned the export of some 50 basic goods, as the country moves to secure supplies of essential items in the face of tightening Western sanctions that have destabilised its currency, the rial. There are signs Iran is building up its gold reserves as the sanctions have made it hard for Tehran to take payment for its oil through bank transfers. Official data from Turkey, a buyer of Iranian oil, suggests nearly $2 billion of gold was sent to Dubai on behalf of Iranian buyers in August.

Shivom Seth: India's apex bank the Reserve Bank of India (RBI) has asked banks not to finance the purchase of gold. Though the RBI has already halted banks' ability to lend money for the purpose of purchasing gold bars, now the apex bank has slashed lending for gold in any form. India's huge pool of household gold and a tough economic environment have pushed consumers to opt for gold loans. While many banks and non banking finance companies have competed with each other to bring new products to the market, it is the gold loan portfolio in the country that has grown by leaps and bounds. As M Sampat, retail banking at Federal Bank said, "With gold loans, there is almost no delinquency, the risk for such loans is much less." Much of the German gold, the second largest national reserves in the world, is held in New York, London, and Paris. Now there is a campaign under way in Germany to bring the metal back home -- and it is gathering strength all the time. Much of the German gold reserve was built up under the old Bretton Woods system that operated from the end of World War II until 1971. Trade deficits and surpluses were settled by central banks in gold, and since Germany regularly ran big surpluses it ended up with a lot of the metal. But most of it was not held in Germany itself. Much of it was held abroad, mostly in the U.S., U.K., or France. An estimated 66% is held at the New York Federal Reserve, 21% at the Bank of England, and 8% at the Bank of France. The old West Germany was on the front line of the Cold War and if the Russians had ever invaded, their tanks would have headed straight for the bullion vaults. There was no point in leaving such a tempting target open to attack. With the Cold War a distant memory, many Germans want the gold returned to their own country.

Harvey's comments on Wednesday's price action (basis 1:30 PM EST)

Quote:

Gold closed up by $5.70 to $1717.50.

Silver rose by 48 cents to $32.29.

Tuesday, Oct 30th Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/10/european-unemployment-rises-to-116.html

Total, Oct (Gold), Nov (Silver), Dec (Silver and Gold) Open Interest

In silver

Quote:

The total silver Comex OI rose by 760 contracts back up to 137,585 from yesterday's level of 136,825. Our bankers are keeping a close eye on the silver total OI. The non active November silver contract month saw it's OI fall by 10 contracts from 44 down to 34. The bid December contract saw it's OI rise by 260 contracts from 76,334 up to 76,594.

In gold

Quote:

Today is first day notice for both the gold and silver November contract months.

The total Comex gold open interest rose by 1318 contracts from 453,424 to 454,742. The non active November contract saw it's OI settle at 252 contracts dropping 52 contracts from yesterday. This is our opening glimpse as to what will stand for gold in the month of November. The big December contract saw it's OI rise by 162 contracts from 307,992 up to 308,154.

Volume

In silver

Quote:

The estimated volume today was quite anemic at 30,747.

The confirmed volume yesterday was very low at 16,852.

In gold

Quote:

The estimated volume was better as of late rising to 125,213 from yesterday's confirmed level of 61,488.

Inventory Numbers

In silver:

Quote:

Again, we had no activity inside the silver vaults today.

We had no dealer deposit and no dealer withdrawal.

The customer had no deposits and no withdrawals.

We had 2 adjustments

i) we had 36,224.145 oz adjusted out of the customer and into the dealer at Delaware

ii) a removal of 54,493.66 oz out of Scotia as a counting error.

Registered silver remains at: 37.008 million oz.

Total of all silver: 142.362 million oz.

In gold:

Quote:

Today, we again had no activity inside the gold vaults.

The dealer had no deposits and no withdrawals.

The customer had no deposits and no withdrawals.

There were no adjustments:

Thus the dealer inventory rests tonight at 2.7349 million oz (85.06) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 2 notices filed for 10,000 oz on first day notice.

In gold:

Quote:

The CME reported that we had 126 notices filed for first day notice or 12600 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month is thus 2 contracts or 10,000 oz of silver.

To determine the number of silver ounces standing for November, I take the OI standing for November (34) and subtract out today's notices (2) which leaves us with 32 notices or 160,000 oz ready to be served upon.

Thus the total number of silver ounces standing in this non active month of November is as follows:

10,000 oz (served) + 160,000 oz ( to be served upon) = 170,000 oz

In gold:

Quote:

The total number of notices filed so far this month is thus 126 notices.

To determine what is left to be served upon, I take the OI standing for November (252) and subtract out today's notices (126) which leaves us with 126 notices or 12600 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

12,600 oz (served) + 12,600 oz (to be served upon) = 25,200 oz (.7838 tonnes of gold).

The number of ounces will probably rise as the month progresses.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 1026 down 1.63%. WTI crude was 86.24 up 0.67 today. Brent closed at 108.35, down 1.99. The spread between Brent and WTI was 22.11 down 2.66. US Treasury 30 year was 2.851 down 0.067. The dollar was down 0.01 points at 79.92. The PPT/Dow was down 10.75 at 13,096.46, still above the very key round number of 13,000. Facebook was 21.11 down 0.83 (3.79%). Silver closed at $32.26. The November CCI was 563.90, down 1.00 December wheat was up 7.60 at 864.40. December corn was up 14.00 at 755.60. December lean hogs were up 0.175 at 78.275. January feeder cattle were 148.525 down 0.175. December copper was 3.5175 up 0.0115. December natural gas was up 0.001 to close at 3.692. December coal is 59.55 up 0.05.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

Thu, Nov 1, 2012 - 9:55pm
DayStar
Offline
Joined: Jun 14, 2011
2586
14106

~~Harvey 1 Nov 2012

This is DayStar (DS) with the Thursday Harvey Report.

DS: Zero Hedge generally refuses to expose the fact that precious metals manipulation exists, though they have mentioned from time to time, probably depending on who was at the helm at the time. Hence, I found the following post regarding the NWO interesting. ZH: Here is the crux of the issue: in a globalized system, in which every sovereign is increasingly subjugated to the credit-creating power of the globalized "whole", one must leave all thoughts of sovereign independence at the door and embrace the "new world order." After all, this is the only way that the globalized system can create the shadow cloud of infinite repo-able liabilities, in which we currently all float, light as a binary feather. This financial digital cloud permits instantaeous capital flows and monetary fungibility, and guarantees that there will be no sovereign bond issue failure--as long as nobody dares to defect from the system in which all collateral is cross pledge and ultra-rehypothecated. This, of course, is for the greater good of the hive--until the Buba secretly defected that is. DS: Well, it was no secret to the cartel. They were well aware of what happened, and probably approved it for whatever reason. The plebes didn't know, and that was just as the cartel likes it. They leak enough information to give themselves conscience salve, but it does the marks no good as it is too little, too late.

DS: Today as a follow on to the ZH story from last week about the Buba's repatriation of two thirds of its gold from London, we see others following the lead of Venezuela and Germany. Now Ecuador asks for the return of about one third of its gold. On the down side, Mexico wimped out and said they had complete confidence in the Fed and London. Makes you wonder what they got for saying that. Let's hope the leaders of Ecuador and Germany fare better than the president of Ghana who was murdered when he ordered Ghana's gold returned.

Adrian Ash (Bullion vault): Wholesale prices to buy gold rose to 7-session highs in London on Thursday morning, touching $1726 per ounce even as new data showed US employment rising at its fastest pace since February. DS: I wonder why these news sources report these fictitious government statistics without doing any investigation. They have had plenty of opportunity to learn the government is cooking the books, and the only thing they gain by dutifully reporting the government hogwash is to remain in good graces with their government news sources. Meanwhile they lose credibility and circulation with people who understand what's going on.

Harvey: The big news of the day was no doubt the terrible report from Barrick as their production fell, as did their earnings. Revenue fell 13.5%, and their capital costs at Pascua Lama shot up again to now 8.0-8.5 billion from previous figures of 7.5-8.0 billion dollars. They now expect to be in production by the second half of 2014. I doubt it. They still have that glacier problem and they refuse to address it in public.

Barrick Q3 adjusted EPS was $0.85 versus the Street-view of $0.98.

* Revenue falls 13.5 percent as gold sales, price sag

* Capital costs at Pascua-Lama boosted again

* 2012 copper outlook lowered to 450 million pounds

Nov 1 (Reuters) - Barrick Gold Corp, the world's top gold miner, reported a huge drop in third-quarter profit due to lower sales volumes and lower realized gold prices, and again boosted development costs at its massive Pascua-Lama project.

The Pascua-Lama gold mine, high in the Andes on the border between Chile and Argentina, is now expected to cost some $8 billion to $8.5 billion, up from $7.5 billion to $8 billion, the company said.

A review of the project is expected in early 2013, with first production at the massive mine expected in the second half of 2014…

Rhody: An average day in the Comex silver pits (the open market period) experiences 140 MILLION to 150 MILLION ounces of selling to establish the spot price. Most of these contracts are traded back into oblivion by the end of the session, leaving only a 1000-2000 contracts to be added to Open Interest. Since total new mine supply is about 760 Million ounces, a single day's trade on Comex represents about 20% of total new mine supply for a WHOLE YEAR. On average, Comex 'sells' ALL the new mine supply each business WEEK. That, in turn, means that in a year, Comex sells the entire annual mine supply 52 times. Frankly, ALL of this mine supply and MOST of the recycled silver scrap is consumed by industry, leaving very little for investors. So the question I MUST ask is what is Comex selling to set the spot silver price? It can't be silver. You and I both know the answer to this question. Comex is a derivative RIG of the silver market, which allows selling 50 times larger than the entire physical supply. Yet, Comex is not even the biggest derivative market in silver. The LBMA is. The derivative selling is even more blatant there. Between these two derivative markets, the bullion banks and their minions sell almost as much silver each year as this planet has produced in its entire history [DS: And industry has consumed most of what has ever been mined.], and they do it YEAR, after YEAR, after YEAR. If you think this is insane, consider that the open interest levels on Comex are DOWN 30% from a decade ago and the "ounces" transferred on the LBMA are down by TWO THIRDS. The derivative markets are slowly dying. The paper silver market still serves to suppress the price however, and since a smaller market is both easier to suppress and easier to blow up, we have had rehypothecation scandals to force even the paper buyers to shy away from these sleazy markets. I suspect many of the exporting governments already know the score, because several (China, Russia and Venezuela) forbid exports of any precious metal and others are attaching export duties to capture back for the exporting nation some of what Comex and the LBMA steal each day (Indonesia). But I do believe that the really big producer/exporters should be warned: Peru, Mexico, Poland, Chile, Argentina (which is named after silver).

DS: Perhaps this is redundant, but in light of the flap over Germany repatriating its gold, let me remind my readers that a nation's currency is its lifeblood. If the currency stops flowing, so does the economy. If the banking system collapses or if the currency becomes worthless, then commerce stops. If it's only one country whose currency is in trouble, then cross-border trading will pick up much of the slack left when the domestic currency failed (recall Zimbabwe's cross-border lifeline with Mozambique, Botswana, and South Africa). However, the current world financial system is tied to the US dollar and the central banking system. If the dollar goes belly up, most every other world currency is in as bad or worse shape than the dollar. That means the global financial system will cease to function. If the banks fail and the money is no good, goods will cease to flow to market due to the lack of means to pay for them. This means empty shelves and hungry people. The goods will exist, but there will be no means to get them to market until some alternative currency emerges, but in the mean time, goods will stop flowing.

Jan Skoyles (therealasset.co.uk): Germany isn’t the first country to ask questions about its gold, let alone repatriate it. Switzerland is also raising plenty of questions and Venezuela finished repatriating their gold earlier this year. So what does repatriating the country’s gold say about the sovereignty?

1. It highlights that there is a changing geo-political landscape

There are two geopolitical reasons for a country taking custody of another’s gold; the first is for ease of transport for payment purposes, the second is to protect the gold from geopolitical risk. This no longer seems true, so why hasn't the gold been moved back?

2. Do not trust the custodian country to keep track of your gold when lending it out

Both GATA and Bring Back Our Gold argue that central banks have either loaned or “sold short” the majority of the country’s gold. As GATA found out between 2008 and 2009 the Fed has gold-swap arrangements with foreign banks but keeps them secret. This practice of loaning out gold is not uncommon; it’s the worst kept secret ever. However as Zerohedge points out, this can lead to the eventual problem that no-one’s sure whose gold is whose anymore having been a sort of pass-the-parcel for many years. There is now a debate as to whether Germany, or anyone else storing gold in a central bank abroad, owns allocated gold or is merely a ‘creditor’ on a metal statement.

3. Do not trust the custodian country to even protect the value of their own currency

As we said in the first point, much of the gold was originally stored abroad for safe keeping, particularly in regard to storing with the US Federal Reserve. However as two round of QE have shown and the third just beginning, the US aren’t even willing to protect their own assets in the long-term, so are they likely to look after those of another country’s when they realise the rest of the world doesn’t want to use their currency anymore. Many believe China will issue some kind of gold-backed currency in the short-term and dump its one trillion dollars’ worth of US Treasury securities. Should the Chinese or anyone else behave in such a manner, the US will need to respond – most likely with gold, which on its own it does not have enough of. The continual devaluation of the US Dollar is, of course, a good thing for the gold price and therefore, even more reason for countries to get it back onto home soil.

4. Foresee the need to protect the future of your own monetary system

In the last few months we have listened to Jens Weidmann, President of the Bundesbank, compare the ECB’s plans to the ‘Faustian Pact’. However, thanks to the undemocratic nature of the Eurozone, few seem to be listening. Like many of the disagreements in the past, the ECB finds a way to work around them or gently persuade member countries to support new measures – such as Draghi’s OMT plans. Germany, like other countries in the EU, has a responsibility to protect its citizens’ wealth and standard of living, and gold is a protector of wealth. The euro, many have said was designed to act ‘like a gold-standard’ unfortunately you dressup up a fiat currency is like putting lipstick on a pig, as Germany seems to have realised.

5. It’s yours, you want it where you can see it [DS: If you don't hold it, you don't own it.]

The Bundesbank, and Venezuela before it, has done nothing wrong. This is despite mainstream coverage which wants to imply that the Bundesbank’s decision to move 600 tonnes of gold from the Bank of England between 2000 and 2001 was a ‘shock’ and ‘mystery’, but no one really knows how this financial crisis will unfold. Whilst financial crises have, unfortunately, become too frequent, in the last forty years, never has one been this contagious, far-reaching or beyond the understanding of the policy-makers. Why shouldn’t the Germans get their gold back under control? They own it, and most likely, they’ll need it.

ZH: Reports of further political turmoil emerged from Greece today. First it was news that Europe's weakest link may be broken following a Greek court doing the unthinkable, and actually enforcing the constitution, and now we learn that in addition to at least one definite defection from the Greek coalition government (PASOK), the entire party is now on edge as its leader, former PM Evangelos Venizeloz seeks to quell a "rebellion" ahead of next week's vote. Two days ago the third member of the ruling coalition: the Democratic Left, which mans 16 votes, announced it would vote against the Troika demands. This leaves the coalition with 160 votes on a matter in which it needs a majority. Should Pasok's 17 votes also be in danger of pulling out (assuming nobody from New Democracy votes no), then one can see why Greece may once again hold the fate of the Eurozone in its hands just as the US is voting for its next president and hardly needs more European drama.

Tyler Durden: Borrowing on the prohibitive, and largely "last resort" ECB "Marginal Lending Facility" (whose rate is an usurious 1.50% /sarc), one or more banks saw their need for EUR explode in the last day of the month, sending overall usage on this credit line to €7.8 billion, the most since mid-March, and a surge of over €7 billion overnight. What spooked European banks so much (whose liquidity needs are not month or quarter-end window dressing driven) that the ECB had to step in on top of everything else it has already done? We will surely find out soon.

Graham Summers (Phoenix Capital Research): Spain continues to heap one impossible idea on top of another. The latest “plan” consists of Spain creating a bad bank called SAREB that will buy up bad assets in Spain in an effort to clean up the country’s finances. SAREB will likely purchase about €60 billion of toxic assets using Spanish resources and some of the funds allocated under the bank-bailout agreement. So where exactly is the €60 billion going to come from? Even if Spain uses all of the €30 billion it’s received in bailout funds so far, it’s still €30 billion short. Even if Spain were to get the funds together to do this… this move is still not big enough. Spanish Prime Minister Rajoy admitted in private that Spain’s real funding needs are in the ballpark of €500 billion. At the end of the day, you can announce all the fancy sounding programs you like. But unless someone comes up with actual cash, none of it amounts to much other than political posturing (consider also Spain's 25% unemployment rate and the lack of market for Spanish sovereign bonds). With that in mind, Spain remains the primary issue for Europe. I cannot say when this house of cards will come crashing down, but crash it will. It’s only a matter of time.

Mark Grant (Out of the Box): Given the length of time that has passed the markets are mostly immune now, deadened by some kind of economic Novocain where there is little feeling left and where the ECB’s “Save the World” rhetoric overshadows all issues and problems and so the prevailing attitude is “Yes, there is Greece; but it doesn’t matter.” I am afraid that this will not be the case in the coming weeks and that Greece will matter once again as the severity of the situation rises anew. Greece, itself, may not be able to take the pressure of the austerity measures demanded as the coalition government topples and during the call for new elections defaults and throws the financial system of the world into havoc. It will be systemic, have no fear, if Greece defaults, it will not be an isolated incident, because the size of their total debt now exceeds $1.5 trillion which is the number you get if you count what should be counted.

Harvey's comments on Thursday's price action (basis 1:30 PM EST)

Quote:

Gold closed down today to the tune of $3.40 resting at $1711.10 Comex closing time.

Silver after rising early in the session to $32.64 settled down 3 cents to $32.26.

In the access market at 5 pm:

Gold $1715.30

Silver: $32.28

Tuesday, Oct 30th Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/11/barrick-reports-terrible-earnings.html

Total, Nov (Silver), Dec (Silver and Gold) Open Interest

In silver

Quote:

The total silver Comex OI rose by 1656 contracts from 137,585 back up to 139,243 and this has certainly got the attention of the bankers as they orchestrate a plan on how to cause a massive fall of silver leaves from the silver tree. The non active November silver contract month saw it's OI fall by 5 contracts. We had only 2 notices filed so we lost 3 contracts or 15,000 oz of silver standing.

In gold

Quote:

The total gold Comex open interest rose by a considerable 3069 contracts from 454,742 up to 457,811 as new speculators entered the arena trying to take on our crooked bankers. The non active November gold contract month saw it's OI fall by 118 contracts. We had 126 delivery notices yesterday so we actually gained 8 contracts or 800 additional oz of gold will stand for delivery in November. The big December contract has now all the attention. It's OI fell by 1750 contracts from 308,154 down to 306,404.

DS: It might be okay, Harvey, if the new specs are backed by sovereign states. This mess is likely going to blow up soon, and the Eastern sovereigns, smelling blood, may be circling for the kill. If the sovereigns stand for delivery in December, this charade is likely over. The sovereign gold rush (a currency war exchanging fiat for unwanted dollars) was one sign that Lindsey William's source told him would presage the collapse of the dollar.

Volume

In silver

Quote:

The big December contract saw it's OI rise by 597 contracts from 76,594 up to 77,191.

The estimated volume today was very light at 31,118. The confirmed volume yesterday was also light at 33,001.

In gold

Quote:

The estimated volume was better as of late rising to 125,213 from yesterday's confirmed level of 61,488.

Inventory Numbers

In silver:

Quote:

Again, we had quite a bit of activity inside the silver vaults today.

We had no dealer deposit and no dealer withdrawal.

The customer had the following deposits

i) Into CNT 4098.000 oz

ii) Into Scotia: 500,799.32

Total deposit: 504,897.32 oz

We had the following customer withdrawals:

i) 20,888.000 oz out of CNT

ii) 1021.100 oz out of Delaware

Total customer withdrawal: 21,902.1 oz

We had 3 adjustments

i) we had 246,618.078 oz adjusted out of the dealer and into the customer at Delaware

ii) a removal of 56,054.06 oz out of dealer HSBC into the customer at HSBC

iii a removal of 544,124.100 oz out of the dealer at JPM into the customer at JPM.

iii) a removal of 246,618.078 oz from the dealer at Delaware back into a customer account.

No doubt all of these adjustments would be used in the settlement process.

The total adjusted out of the dealers total: 846,796.23 oz

Registered silver remains at : 36/161 million oz

Total of all silver: 142.845 million oz.

In gold:

Quote:

Today, we again had no activity inside the gold vaults.

The dealer had no deposits and no withdrawals.

The customer had no deposits and no withdrawals.

There were major adjustments today, and obviously this is part of the settlement process.

i) From the HSBC vault: a huge 165,739.092 oz was removed from the dealer and enter the customer (5.15 tonnes of gold)

ii) From the JPMorgan vault: 1,710.903 oz was removed from the dealer at JPM into the customer at JPM

Thus the dealer inventory rests tonight at 2.567 million oz (79.84) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 0 notices filed for zero oz.

In gold:

Quote:

The CME reported that we had 14 notices filed for first day notice or 1400 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month is thus 2 contracts or 10,000 oz of silver. To determine the number of silver ounces standing for November, I take the OI standing for November (29) and subtract out today's notices (0) which leaves us with 29 notices or 145,000 oz ready to be served upon.

Thus the total number of silver ounces standing in this non active month of November is as follows:

10,000 oz (served) + 145,000 oz ( to be served upon) = 155,000 oz

We lost 15,000 oz of silver standing.

In gold:

Quote:

The total number of notices filed so far this month is thus 140 notices or 14,000 oz of gold.

To determine what is left to be served upon, I take the OI standing for November (134) and subtract out today's notices (14) which leaves us with 120 notices or 12000 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

14,000 oz (served) + 12,000 oz (to be served upon) = 26,000 oz (.808 tonnes of gold).

the number of ounces will probably rise as the month progresses.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 1000 down 2.53%. WTI crude was 86.91 down 0.18 today. Brent closed at 108.17, down 0.18. The spread between Brent and WTI was 21.26 down 0.85. US Treasury 30 year was 2.897 up 0.046. The dollar was up 0.13 points at 80.05. The PPT/Dow was up 136.16 at 13,232.62, still above the very key round number of 13,000. Facebook was 21.21 up 0.10 (0.47%). Silver closed at $32.26. The November CCI was 565.00, up 1.10 December wheat was up 4.00 at 868.40. December corn was down 4.60 at 751.00. December lean hogs were down 0.400 at 77.875. January feeder cattle were 147.000 up 0.650. December copper was 3.5520 up 0.0345. December natural gas was up 0.007 to close at 3.695. December coal is 59.43 down 0.12.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

Sat, Nov 3, 2012 - 11:13pm
DayStar
Offline
Joined: Jun 14, 2011
2586
14106

~~Harvey 3 Nov 2012

This is DayStar (DS) with the Saturday Harvey Report.

The FDIC siezed the following banks Friday night:

  • Citizens First National Bank, Princeton, IL
  • Heritage Bank of Florida, Lutz, FL

Commitment of Traders Report (COT):

Gold: Immensely bullish as our commercials have gone net long this week to the tune of 9901 contracts. Maybe this is a set up for a huge bull run once the election is over!!

Silver: The commercials went again net long to the tune of 1767 contracts, as they are seeing the writing on the wall. Again this COT report from a commercial point of view is very bullish. Silver must advance in price shortly.

DS: My gut feel is that this crash they orchestrated Friday where they shorted 30% of the total annual silver production into Comex in a few minutes is getting the cartel into a position where they can cover their shorts. This is my speculation, and I could be dead wrong, but I am confident silver is about to run out, especially in quantity. They can put a lid on the PMs till the election, but physics will eventually overcome fraud, because you can't hand somebody something that isn't there. My LCS premiums have gone up a lot (from 19 up to 28 times face), and they haven't had much inventory. I am reading other anecdotal reports of thin silver inventories. It is clear that mining production is just barely supplying industrial demand for silver, never mind the red hot stacker market and the investor market. There are far fewer ounces of silver above ground and available for sale than there are gold ounces and ounce for ounce, it looks like silver is outselling gold about 50/1. This will soon deplete all available silver. Harvey agrees about the reason for the raid. He said, "The raid on Thursday and Friday was nothing but a criminal collusive staged event orchestrated by the bankers trying to extricate themselves from their massive shortfall in gold and silver."

Chris Powell (GATA): A member of the executive board of the German Bundesbank, Andreas Dombret, at a reception held at the Bundesbank's office in New York in the presence of the president of the Federal Reserve Bank of New York, William Dudley said the furor over the gold held abroad would abate. Dombret's remarks confirm that, as GATA often has reported, Germany's gold reserves are held in large part at the New York Fed to facilitate their presumably secret trading, since, as Dombret notes, "Frankfurt is not a gold-trading center." Dombret's remarks seem meant to pretend that the clamor and controversy over the foreign vaulting and secrecy around the German gold reserves will end quickly, preserving the trust between the Bundesbank and the Federal Reserve. And yet the Bundesbank continues to refuse to answer whether it has any gold swap arrangements with the Fed or any other agency of the U.S. government. If the Bundesbank won't answer about that to the Germany people, why should they have any trust in their own central bank or any central bank? The clamor and controversy probably won't be going away before the Bundesbank and Fed answer that question truthfully. And of course if that ever happens, the clamor and controversy will have only just begun.

Peter Warburton (British Economist): "What we see at present," Warburton wrote in 2001, "is a battle between the central banks and the collapse of the financial system fought on two fronts. On one front the central banks preside over the creation of additional liquidity for the financial system to hold back the tide of debt defaults that would otherwise occur. On the other they incite investment banks and other willing parties to bet against a rise in the prices of gold, oil, base metals, soft commodities, or anything else that might be deemed an indicator of inherent value. Their objective is to deprive the independent observer of any reliable benchmark against which to measure the eroding value, not only of the U.S. dollar but of all fiat currencies. Equally, they seek to deny the investor the opportunity to hedge against the fragility of the financial system by switching into a freely traded market for non-financial assets. ...

"How much capital would it take to control the combined gold, oil, and commodity markets? Probably no more than $200 billion, using derivatives. Moreover, it is not necessary for the central banks to fight the battle themselves, although central bank gold sales and gold leasing have certainly contributed to the cause. Most of the world's large investment banks have overtraded their capital so flagrantly that if the central banks were to lose the fight on the first front, then their stock would be worthless. Because their fate is intertwined with that of the central banks, investment banks are willing participants in the battle against rising gold, oil, and commodity prices."

DS: Here's a couple of interesting tidbits from Spain:

  • car registrations tumbled 21.7% in October
  • seized Spanish banks must fire half their workforce

Most likely the cars that weren't registered were not being driven because they couldn't afford the gas. It's much more expensive in Spain than in the US.

Zero Hedge: In Europe, the main headline was that the Greek Court of Auditors sees the pension reforms demanded by the troika as unconstitutional, potentially derailing the government’s efforts to push its EU13.5bn austerity package through parliament next week. The Court of Auditors, which vets Greek laws before they are submitted to parliament, said planned measures could be against constitutional provisions including the “principles of individual dignity and equality before the law” (Reuters).

Wolf Richter (testosteronepit.com): Prime Minister Jean-Marc Ayrault made it official: the government would requisition vacant buildings regardless of who owned them, including office buildings. It would then convert them to apartments and make them available to the homeless and the “badly housed.” As a first step, he asked for “an inventory of available buildings.” That list should be on his desk in “a few weeks,” hesaid. He was in a rush to identify these properties “so that we can undertake at least several operations in January and February 2013.” A desperate move to halt the collapse of his numbers. And another broadside at investors who could build housing and provide needed jobs. French unemployment is over 10%, and youth unemployment is over 25%. In "disadvantaged" areas, unemployment is far higher. For example, in Clichy-sous-Bois, an eastern suburb of Paris, unemployment is 22%, and youth unemployment is astronomical. The pressure in these areas is rising. They’ve blown up before. Jobs would relieve some of it. But requisitioning buildings and scaring investors won’t. DS: Seizure of private property without due process is the end of freedom in France. Without freedom, capitalism cannot prosper. Karl Marx said the only way to kill capitalism is to tax, tax, tax, and tax some more. Seizure of assets is a pretty big tax.

Harvey's comments on Saturday's price action (basis 1:30 PM EST)

Quote:

Gold closed down $36.40 to $1674.40, while silver followed suit down $1.42 to $30.84 at Comex closing time. In the access market here are the following closing prices:

Gold: $1676.90

Silver: $30.91.

Friday, Nov 2nd Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/11/another-farce-of-jobs-reportmassive.html

Total, Oct (Gold), Nov (Silver), Dec (Silver & Gold) Open Interest

In silver

Quote:

The total silver Comex OI refuses to budge despite the bankers annoying tactics. On Friday the total silver Comex OI rests at 139,329 a gain of 86 contracts from Thursday's level of 139,243. We will have to wait until Monday to see what damage was done to the OI with the Friday raid. The non active November contract silver month saw it's OI remain exactly the same at 29 contracts. Since we had zero delivery notices we neither gained nor lost any silver standing. The big December contract saw it's OI lose 1120 contracts falling from 77,191 down to 76,071.

In gold

Quote:

The total Comex gold open interest succumbed to the initial raid on Thursday falling by 5920 contracts from 457811 contracts down to 451,891. The bankers were quite successful in gold but you will see below they had their troubles with silver.

The non active November gold contract month saw it's OI fall from 134 down to 123 for a loss of 11 contracts. We had 14 delivery notices filed on Thursday so we again gained 3 gold contracts or an additional 300 oz of gold will stand in November.

The big December gold contract is a month away and will be surely watched as the month progresses. Today the OI for December fell by 9,588 contracts from 306,404 down to 296,816 as some of the weaker longs fell prey to the bankers collusive activities.

Volume

In silver

Quote:

The estimated volume Friday was quite good at 57,774.

The confirmed volume on Thursday was much less at 33,419.

In gold

Quote:

The estimated volume today was a quite robust 212954 contracts as the bankers supplied the copious non backed paper.

The confirmed volume on Friday was much less at 135,510.

Inventory Numbers

In silver:

Quote:

Again, we had little activity inside the silver vaults on Friday.

We had no dealer deposit and no dealer withdrawal.

The customer had no deposits on Friday.

We had the following customer withdrawal:

i) 377,884.63 oz out of Brinks

Total customer withdrawal: 377,884.63 oz.

We had 0 adjustments.

Registered silver remains this weekend at: 36.161 million oz

Total of all silver: 142.467 million oz.

In gold:

Quote:

On Friday, we again had tiny activity inside the gold vaults.

The dealer had no deposits and no withdrawals.

The customer had one deposit and no withdrawals.

Customer deposit:

i) Into Scotia: 6,430.00 oz (possibly 20 kilo bars)

There was another major adjustment today:

i) From the Scotia vault: 19,988.910 oz was removed from the customer and entered the dealer at Scotia

ii) From the HSBC vault: 1.946 oz was removed from the dealer due to a counting error.

Thus the dealer inventory rests tonight at 2.587 million oz (80.466) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 0 notices filed for zero oz.

In gold:

Quote:

The CME reported that we had 112 notices filed for the second day notice or 11,200 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month is thus 2 contracts or 10,000 oz of silver.

To determine the number of silver ounces standing for November, I take the OI standing for November (29) and subtract out today's notices (0) which leaves us with 29 notices or 145,000 oz ready to be served upon.

Thus the total number of silver ounces standing in this non active month of November is as follows:

10,000 oz (served) + 145,000 oz ( to be served upon) = 155,000 oz.

We neither gained nor lost any silver ounces standing.

In gold:

Quote:

The total number of notices filed so far this month is thus 252 notices or 25,200 oz of gold.

To determine what is left to be served upon, I take the OI standing for November (123) and subtract out today's notices (112) which leaves us with 11 notices or 1100 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

25,200 oz (served) + 1,100 oz (to be served upon) = 26,300 oz (.818 tonnes of gold). We gained 300 oz of additional gold standing for November.

The number of ounces will probably rise as the month progresses.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 986 down 1.40%. WTI crude was 84.86 down 2.23 today. Brent closed at 105.68, down 2.49. The spread between Brent and WTI was 20.82 down 0.44. US Treasury 30 year was 2.917 up 0.020. The dollar was up a whopping 0.55 points at 80.59. The PPT/Dow was down 139.46 at 13,093.16, still above the very key round number of 13,000. Facebook was 21.18 down 0.03 (0.14%). Silver closed down a whopping $1.35 at $30.91. The November CCI was 565.00, uchanged. December wheat was down 4.00 at 864.40. December corn was down 11.40 at 739.40. December lean hogs were down 0.125 at 77.750. January feeder cattle were 146.675 up 0.325. December copper was 3.4815 down 0.0705. December natural gas was down 0.145 to close at 3.554. December coal is 59.45 up 0.02.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

Mon, Nov 5, 2012 - 9:57pm
DayStar
Offline
Joined: Jun 14, 2011
2586
14106

~~Harvey 5 Nov 2012

This is DayStar (DS) with the Monday Harvey Report.

DS: The furor continues apace about the gold that was but is not.

George Washington (ZH): Romania has demanded for many years that Russia return its gold. Last year, Venezuela demanded the return of 90 tons of gold from the Bank of England. The German high court recently ruled that Germany must audit its gold reserves held in foreign countries such as the U.S., England and France. And German inspectors will actually travel to the New York Federal Reserve Bank’s gold depository and the Bank of England to inspect their gold. Germany will also repatriate 150 tons of gold in order to test it for purity. As Zero Hedge notes (quoting Bloomberg): Ecuador’s government wants the nation’s banks to repatriate about one third of their foreign holdings to support national growth, the head of the country’s tax agency said. Carlos Carrasco, director of the tax agency known as the SRI, said today that Ecuador’s lenders could repatriate about $1.7 billion and still fulfill obligations to international clients. Carrasco spoke at a congressional hearing in Quito on a government proposal to raise taxes on banks to finance cash subsidies to the South American nation’s poor. Four members of the Swiss Parliament want Switzerland to reclaim its gold. Some people in the Netherlands want their gold back as well.

Cheviot Asset Management’s Ned Naylor-Leyland says that the Fed and Bank of England will never return gold to its foreign owners. Jim Willie says that the gold is gone. The fact that CNBC head editor John Carney is arguing that it doesn’t matter whether or not the Fed has the gold does not exactly inspire confidence. Gerald Celente notes:

It’s not only Germany (who’s gold is missing), it’s the United Sates, it’s all of the countries. Nobody knows what’s in Fort Knox. They won’t let anybody in. Where’s the gold in the United States? How come we can’t go in and look in Fort Knox? How come the people can’t have a reading? How come we can’t look at it? How come politicians can’t get in there? How come no one can get in there? The gold does not exist. All this does is confirm what so many of us already know, “The Emperor has no gold.” Egon von Greyerz - founder and managing partner at Matterhorn Asset Management – agrees: There probably isn’t anywhere near the central bank gold (governments claim they possess). Ron Paul has called for an audit of Fort Knox, based upon the suspicion by many that the gold was sold off years ago.

Goldcore: There was a huge 1.4 billion USA dollars worth of gold carried by Turkish members to Iran, the UAE and the Middle East in September [DS: And we reported that sale right after someone noticed in September. The news here is Turkey's bonds.]. Turkey has seen it's bond values rise due to deficits shrinking due to the gold purchased by the Turks and sold to the Iranians and other Arab nations. Turkey generally has the second largest current account deficit in the world following the USA. It is around 10% of its GDP. Since March, Turkey has exported close to 11.7 billion usa dollars worth of gold. Almost 90% of this landed in Iran due to the embargo placed on this nation by the USA. The Turkish authorities are now desperate to get it's citizens to hand in their gold for paper gold to further aid in their current account deficit.

Chris Powell (GATA): While the prevailing opinion seems to be that Republican Mitt Romney's election as president would be bad for gold, Centennial Precious Metals proprietor Michael Kosares finds that gold has been pretty indifferent to the results of presidential elections. In any case, Kosares notes, Federal Reserve Chairman Ben Bernanke's term won't end until two years into the term of the next president, so the monetary helicopters may keep flying. DS: JPM will try to make gold/silver look bad no matter who is president, and it is possible there could be a small, short lived dip should MR become president. The problem with the "gold is bad" scenario is that it will disappear from the market place, and the clamor for PMs to protect the burning fiat will be deafening. This will happen no matter who is president.

Chris Powell: GATA board member Ed Steer writes at his daily newsletter for Casey Research that Scotiabank has been dodging his questions about the bank's involvement in the silver market, so he concludes that Scotiabank is likely the new "non-U.S. bank" joining JPMorganChase as a big manipulative short in silver.

Hugo Salinas Price: The attachment of humans to gold is remarkable; I suspect there is something metaphysical about gold that attracts human beings. Perhaps gold is part of the natural order of things, part of the Rerum Natura, and the relationship of humans to gold is “built-in” into human nature, like sexual attraction. I won’t insist upon this, but I think about it. [DS: I agree. There seems to be an innate response of men to gold. Every place on earth where it is found, the people there consider it valuable.] When the present fiat-money madness in the world has run its course, when no paper of any country can pay for its imports, then imports will be paid in gold. Bank notes backed by gold could be used in place of gold, but the gold coin beats the gold banknote because a gold coin is a tangible fact but a redeemable banknote is a promise, and a promise can never be equal to a fact, in the eyes of any human. This is why women like engagement rings.

Harvey: Chinese mining companies are going after mining operations in the West. In Canada we had CNOOC making a bid for Nexen. It won't be long for the following Chinese miners to take over other mining operations. Shandong Gold, Zijin, and Zhaojin are looking for overseas acquisitions.

Harvey: It seems that the ECB did not follow its own rules as to lending money to Spanish banks. In question is 80 billion euros worth of treasury bills swapped to the ECB from Spanish banks that should have a further haircut of 17 billion euros due to all debt being rated below BBB plus instead of A. The ECB used the A rating a Canadian rating firm (DBRS) gave Spain, thus sparing Spain the pain to train the country to avoid the pain of raising the required collateral. Thus Spanish banks are now facing this major margin call when collateral is non existent.

Harvey's comments on Monday's price action (basis 1:30 PM EST)

Quote:

Gold closed up $7.40 to finish the comex session at $1682.20.

Silver finished up 28 cents to $31.11.

Friday, November 2nd Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/11/gold-and-silver-risegreece-has-one.html

Total, Nov (Silver), Dec (Silver and Gold) Open Interest

In silver

Quote:

The total silver comex OI totally baffled our bankers. Instead of a big drop in OI, the total complex fell by the tiniest of margins only 26 contracts from 139,329 down to 139,303. Over a week ago, the silver price approached $35.00 and the OI was a touch over 140,000 contracts. Silver is down $4.00 and yet the OI hardly budged. The silver longs are resolute and willing to take on our bankers. The non active November contract saw it's OI rise by 6 contracts from 29 up to 35. We had zero delivery notices on Friday so we gained 6 contracts or an additional 30,000 oz of silver will stand. The big December contract for silver saw it's OI fall from 76,071 down to 74,300. The boys who left December went to the March silver contract.

In gold

Quote:

The total gold comex OI declined by a tiny 1358 contracts despite the massive raid on Friday. The bankers were not amused as few gold leaves fell.

The non active November gold month saw it's OI fall 88 contracts from 123 down to 35. We had 112 notices filed on Friday so we actually gained 24 contracts or an additional 2400 oz of gold will stand in November.

We are still 4 weeks away from first day notice for gold on the December gold contract. The December contract is always the biggest gold deliveries for the year. The total December gold OI declined by 7201 contracts from 296,816 down to 289,615 as some earlybirds left December for February.

Volume

In silver

Quote:

The estimated volume today was a very light 32,930.

The confirmed volume on Friday was a very heavy, 72,486.

In gold

Quote:

The estimated volume today was a very tiny 105,780.

The confirmed volume on Friday, the day of the massive raid came in with a reading of 246,203. It kind of shows you the fire power of the bankers when they want to raid as volume rises big time.

Inventory Numbers

In silver:

Quote:

Today, we had some activity inside the silver vaults.

We had one dealer deposit and no dealer withdrawal.

i) Dealer deposit: 40,108.000 oz of silver landed into the vault of CNT.

I do not know about you, but I am getting quite suspicious on the CNT deposits of silver. They are always exact like today at 40,108.00000. Next question: why didn't they just adjust the 40,108.00 oz out of the customer and back to the dealer which they have been doing regularly? It looks like the data at the comex is becoming compromised.

The customer also had one deposit today:

i) Into Delaware: 1048.90 oz of silver.

We had the following customer withdrawals:

i) our same 40,108.000 oz which landed in CNT arrived courtesy of a withdrawal from the customer at CNT.

ii) Out of Delaware, 998.90 oz was withdrawn

iii) Out of Scotia: a massive 300,029.06 oz was withdrawn.

Total customer withdrawal: 342,029.06 oz

We had 0 adjustments.

Registered silver remains this weekend at: 36.201 million oz.

Total of all silver: 142.166 million oz.

In gold:

Quote:

Today, we again had tiny activity inside the gold vaults.

The dealer had no deposits and no withdrawals.

The customer had no deposit and a tiny withdrawal.

Customer withdrawal:

i) Out of Scotia 32.15 oz

Adjustments: none

Thus the dealer inventory rests tonight at 2.587 million oz (80.466) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 8 notices filed for 40,000 oz.

In gold:

Quote:

The CME reported that we had 9 notices filed or 900 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month is thus 2 contracts or 10,000 oz of silver. To determine the

number of silver ounces standing for November, I take the OI standing for November (29) and subtract out today's

notices (0) which leaves us with 29 notices or 145,000 oz ready to be served upon.

Thus the total number of silver ounces standing in this non active month of November is as follows:

10,000 oz (served) + 145,000 oz ( to be served upon) = 155,000 oz

We lost 15,000 oz of silver standing.

In gold:

Quote:

The total number of notices filed so far this month is thus 261 notices or 26100 oz of gold.

To determine what is left to be served upon, I take the OI standing for November (35) and subtract out today's notices (9) which leaves us with 26 notices or 2600 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

26,100 oz (served) + 2600 oz (to be served upon) = 28,700 oz (.8926 tonnes of gold). we gained 2,400 oz of additional gold standing for November.

The number of ounces will probably rise as the month progresses.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 971 down 1.52%. WTI crude was 85.78 up 0.13 today. Brent closed at

107.73, up 2.05. The spread between Brent and WTI was 21.95 up 1.13. US Treasury 30 year was 2.871 down 0.046.

The dollar was up 0.16 points at 80.75. The PPT/Dow was up 19.28 at 13,112.44, still above the very key round number of 13,000. Facebook was 21.25 up 0.07 (0.33%). Silver closed up $0.27 at $31.14. The November CCI was 556.00, down 9.00. December wheat was up 1.40 at 866.00. December corn was down 4.00 at 735.40. December lean hogs were down 0.825 at 76.925. January feeder cattle were 146.775 up 0.100. December copper was 3.4700 down 0.0115. December natural gas was unchanged to close at 3.554. December coal is 59.48 up 0.03.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

Tue, Nov 6, 2012 - 10:03pm
DayStar
Offline
Joined: Jun 14, 2011
2586
14106

~~Harvey 6 Nov 2012

This is DayStar (DS) with the Tuesday Harvey Report.

Harvey: Last night, Lemetropolecafe reported that the physical demand for gold and silver were going through the roof. Today that demand transferred over to the Comex as paper gold and silver skyrocketed.

Harvey: Today's gold/silver trading from Europe and Asia major points of interest:

1. The Bank of England is now beginning to offer gold storage facilities to wealthy clients. I guess many countries are repatriating their gold from the B. of E so they have quite a bit of space available.

2. Today is election day in the USA and early next week, China also has new leadership. This will probably change the landscape a bit in gold and silver.

3. And the biggy...gold imports into China through Hong Kong rose another 30% month over month. Mainland China bought close to 70 metric tonnes of gold last month. In August they brought in 54 tonnes of gold. If this continues China will bring in approx 840 tonnes of gold into their country. If you exclude both Russia and China which do not sell/ship any of its gold out of their respective countries, this represents approx 38% of worldly production of 2200 tonnes of gold. As I have stated on many occasions gold is travelling from western shores onto eastern shores.

4. the World Gold council (whose figures I do not trust..as they are always on the low side) state that central banks bought 254 tonnes of gold for the first 6 months. On a yearly basis this would put central banks adding 508 tonnes of gold as official gold. China would purchase gold but would hide their purchases so you can probably add more gold to the official status. If countries are purchasing this quantity of gold what on earth are the bankers selling?

5. Please note that China is also importing gold scrap and gold coins. Many countries are also importing gold coins as official reserves whether it is their own country or some other country's gold coins.

Chris Powell: GoldMoney founder and GATA consultant James Turk today tells King World News that the third installment of the Federal Reserve's program of "quantitative easing" has been all talk and no action so far. "If the Fed doesn't start pumping juice soon, the stock market could tank," Turk says. "It's not the economy that has kept stock prices up at these levels. It is Fed money printing."

Dan Norcini: Today's surprising pop in gold and silver and says there has been massive short covering and hedge funds have charged back in, scooping up contracts they had just sold. Referring to the evil machines that battled humanity in the "Terminator" movies, Norcini adds, "This is 'Skynet' out of control. ... The markets are broken. The computers are in control."

India to import more gold this year than earlier thought. Speaking at the launch of its wedding jewellery brand, Azva, WGC Director Vipin Sharma said the country could import as much as 800 tonnes of gold this year. India has one of the world's highest savings rates, at over 30% - more than double the United States. The bulk of the country's $800 billion in savings is parked in gold. India and China have continued to dominate global consumer demand, accounting for a combined 45% of total jewellery and bar and coin demand for the second quarter of 2012.

Reuters: Silver miner Coeur d'Alene Mines Corp posted a third-quarter loss due to a sharp drop in silver prices.

The company reported a net loss of $15.8 million, or 18 cents per share, compared with a profit of $23 million, or 26 cents per share, a year earlier. Hecla Mining reported $0.01 earnings per share for the quarter, missing the analysts’ consensus estimate of $0.04 by $0.03. The company had revenue of $81.90 million for the quarter, compared to the consensus estimate of $77.37 million.

Your overnight sentiment from Asia and Europe early this morning.

1. The central bank of Australia surprised all by not cutting interest rates. It's Aussie dollar rose.

2. Europe service PMI was released and the figures were not good. All of Europe printed at 45.7 instead of 45.8, still in contraction phase.

3. Core countries like France and Germany disappointed Europe badly with it's PMI numbers:

i) France: 44.6

ii) Germany: 48.4

4. Talk from Europe on Spain is that their GDP contraction this quarter will be worse than the 6.2% projected.

5. Greece has had 2 days of national strikes. The country has about 6 days worth of cash left. And then today, the striking power workers took 5 power plants off the grid just as winter is approaching.

6. German factory orders collapsed last month to the tune of 3.3% from last month's decline of .8%.

Harvey's comments on Tuesday's price action (basis 1:30 PM EST)

Quote:

Gold closed up $29.90 to finish the Comex session at $1714.10.

Silver responded in kind rising by 91 cents to $32.01.

Monday, November 5th Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/11/election-time-in-usachange-of-guard.html

Total, Nov (Silver), Dec (Silver and Gold) Open Interest

In silver

Quote:

The total silver Comex OI refuses to copy gold. The total silver Comex OI fell by 1887 contracts from 139,303 down to 137,416 as our longs remained stoic and ready to take on our banker friends. These guys are much happier with their decision to stay in the frey than the gold longs who gave up yesterday.

The non active November month saw it's OI drop by 5 contracts from 35 down to 30. We had 8 delivery notices filed yesterday so again we gained 3 contracts or an additional 15,000 oz of silver will stand in November.

The big December contract saw it's OI fall from 74,300 down to 71,185. Many rolled into March.

In gold

Quote:

The total gold Comex open interest fell quite dramatically today with a print at 441,944 a drop of 8588 contracts. The total gold Comex OI yesterday printed at 450,533 as I guess we lost quite a few longs who simply could not take the constant whacking by our bankers.

The non active November gold month saw it's OI fall by 5 contracts from 35 to 30. We had 9 delivery notices yesterday so we actually gained another 4 contracts or 400 oz of additional gold is standing in November.

The big December contract saw it's OI fall from 289,615 down to 277,932 for a loss of 11,683. It seems that these players refused to roll into another future month and just lost interest in the paper gold chase. With today's rise in gold, they are a sorry bunch.

Volume

In silver

Quote:

The estimated volume today was quite good at 48,794.

The confirmed volume yesterday was also good at 41,322.

In gold

Quote:

The estimated volume at the gold Comex today came in at 170,923 which is better of late.

The confirmed volume yesterday was much more subdued at 132,106.

Inventory Numbers

In silver:

Quote:

Today, we had some activity inside the silver vaults.

We had no dealer deposit and no dealer withdrawal.

The customer had one deposit today:

i) Into Scotia: 600,227.52 oz of silver.

We had the following customer withdrawals:

i) Out of Brinks: 750,067.32 oz

ii) Out of Delaware, 988.000 oz was withdrawn

Total customer withdrawal: 751,055.32 oz

We had 1 adjustment out of the CNT vault:

60,965.82 oz was withdrawn from the customer and entered the dealer at CNT

Registered silver remains this weekend at: 36.262 million oz

Total of all silver: 142.015 million oz.

In gold:

Quote:

Today, we again had tiny activity inside the gold vaults.

The dealer had no deposits and no withdrawals.

The customer had one deposit and no withdrawals:

Customer deposit:

i) Into Scotia 3215 oz (possibly 100 kilo bars?)

Adjustments: none

Thus the dealer inventory rests tonight at 2.587 million oz (80.466) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 13 notices filed for 65,000 oz.

In gold:

Quote:

The CME reported that we had 1 notices filed or 100 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month is thus 23 contracts or 115,000 oz of silver.

To determine the number of silver ounces standing for November, I take the OI standing for November (30) and subtract out today's notices (13) which leaves us with 17 notices or 85,000 oz ready to be served upon.

Thus the total number of silver ounces standing in this non active month of November is as follows:

115,000 oz (served) + 85,000 oz ( to be served upon) = 200,000 oz

We gained 15,000 oz of additional silver ounces standing in the November delivery month.

In gold:

Quote:

The total number of notices filed so far this month is thus 262 notices or 26,200 oz of gold. To determine what is left to be served upon, I take the OI standing for November (30) and subtract out today's notices (1) which leaves us with 29 notices or 2,900 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

26,200 oz (served) + 2,900 oz (to be served upon) = 29,100 oz (.905 tonnes of gold). We gained 300 oz of additional gold standing for November.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 947 down 2.47%. WTI crude was 88.01 up 2.95 today. Brent closed at 110.66, up 2.93. The spread between Brent and WTI was 22.65 up 0.70. US Treasury 30 year was 2.916 up 0.045. The dollar was down 0.14 points at 80.61. The PPT/Dow was up 133.24 at 13,245.68, still above the very key round number of 13,000. Facebook was 21.17 down 0.08 (0.37%). Silver closed up 0.84 at $32.02. The November CCI was 562.25, up 6.25. December wheat was up 11.00 at 877.00. December corn was down 5.40 at 741.00. December lean hogs were up 0.650 at 77.575. January feeder cattle were 146.575 down 0.150. December copper was 3.5060 up 0.0360. December natural gas was up 0.063 to close at 3.617. December coal is 59.88 up 0.40.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

Wed, Nov 7, 2012 - 1:08am (Reply to #127)
fraxinus
Offline
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Canada
Joined: Oct 11, 2012
95
374

The obvious conclusion

The supply/demand information you report, DayStar, reveals the Comex as a puny presence in the world-wide physical PM trade. It's probably fair to view it as a smoke-screen, that all buyers have relied on to accumulate PMs at ridiculously low prices. After all, it allows mines in the Third World to justify paying underground labourers as little as TWO DOLLARS A DAY. Only physical shortages that cannot be concealed will end the game, and it seems we're just about there.

Wed, Nov 7, 2012 - 6:36am
DayStar
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Joined: Jun 14, 2011
2586
14106

RE: The Obvious Conclusion

Fraxinus, thank you for your reply. At one time the CME and COMEX were the paragons of virtue and the envy of the world as model markets. That's how COMEX came to dominate the pricing of the world metals. But like you say it is now a smoke-screen for many a nefarious ploy, and those of us who have been so fortunate as to buy and see the price rise have been happy with their purchases, but frustrated by the bankers antics to suppress the precious metals.

The depletion of PMs, particularly silver is what I have been harping on for some time now, and I wholeheartedly agree that the depletion of PM inventory will end the bankers' games. The bankers have no limit to their naked shorting as the 192 million oz dumped on COMEX in ten minutes last Friday shows, though there may be a practical limit, if they don't want to destroy the company, but they may be planning to sacrifice it. Harvey says if silver OI gets above 140,000 the bankers are in trouble. He did not explain how he arrived at that number, and the tendency is for the OI to shrink the past couple of days. I went to a LCS and asked the proprietor's wife if they were having any trouble getting 90%, and she said, "Not at all". Another coin store said their business had slowed down a lot from what it used to be. That could be an indication that the people are about out of PMs.

DayStar

Wed, Nov 7, 2012 - 8:57am
Abraham Bernanke
Offline
Joined: Sep 19, 2011
326
1445

Well done DayStar

I mostly read all of your posts when I get the time as many others do and yet am rude enough to never say thankyou. Well just to let you know your effort in posting here is very much appreciated and I will now go back to lurk and read some more.

DayStar, THANKYOU!

SWAGER on. Silver - Wine - Art - Gold - Energy - Real estate
Wed, Nov 7, 2012 - 10:27pm
DayStar
Offline
Joined: Jun 14, 2011
2586
14106

~~Harvey 7 Nov 2012

This is DayStar (DS) with the Wednesday Harvey Report.

DS: The Dow was down 312.95 to close at 12,932.73. In the days of the PPT this is a bloodbath. The day started off in the green, and then plunged after Draghi's pronouncement that Germany was starting to suffer the effects of the European malaise. This started an immediate sell off in Europe that spilled over into America. Why did Draghi do that? MOPE has been a primary means of controlling the markets, and after the markets were doing nicely, he torpedoed them with the very thing that has been sustaining them. One thing that came to mind was that Wall Street was hacked off at O for not supporting the Trans-Canada pipeline and for financial legislation, and the put their money behind Romney. Just before the election Valerie Jarrett, O's brains in the White House, was quoted as saying, "“After we win this election, it’s our turn. Payback time. Everyone not with us is against us and they better be ready because we don’t forget. The ones who helped us will be rewarded, the ones who opposed us will get what they deserve. There is going to be hell to pay. Congress won’t be a problem for us this time. No election to worry about after this is over and we have two judges ready to go.” Just wonder if the O administration will now move to punish Wall Street. Today could be a preview. It looks like Lindsey Williams elitist insiders were outgunned. As I mentioned before, I think Lindsey's sources are the Rockefeller branch of the elitists, and they are disapproved by the Europeans. O appears to be more aligned with the European branch of the elites, and clearly he beat the Rockefeller's on this round. Lindsey said the dollar would crash shortly after the election. He also said the last of the indicators of the imminent crash of the dollar will be the increase in interest rates. The ECB will meet tomorrow to decide the interest rate for the Eurozone. The results of that meeting could be very telling.

DS: It appears to me that the hurricane won the election for BO. He was sliding in the polls before the storm, and after the storm he was walking with the common people in the destruction of the cities. He was viewed as caring and compassionate, and that changed the momentum and changed the focus away from the disaster he perpetrated in Lybia. It also appears to me to be plausible that the administration ordered a hurricane to strike when and where it did. HAARP strikes again. And the storm tonight was prefaced several days in advance by a high HAARP reading again over the NE, and today the storm follows.

GoldCore: Obama’s election means that quantitative easing, ultra loose monetary policies and currency debasement are set to continue in the world’s number one economy which is bullish for gold – and indeed silver.

Jim Rogers: “It looks to me like the money printing is going to run amok now, and spending is going to run amok now,” Rogers stated. “I have to invest based on what’s happening and not what I would like.” Rogers said that he didn’t vote for either Romney or Obama, saying that “they’re both evil as far as I’m concerned.” With the re-election of Obama absolutely nothing has changed and we are likely to see precious metals perform as they did in Obama’s first term – gold rose 136% and silver 223% (see chart and table). Much of those gains were seen in the first 2 months, November and December 2008, after Obama was elected and prior to him taking office and we may see that again given the strong seasonal factors and very strong fundamentals today.

Bloomberg: The U.S. Department of Defense and Asia’s biggest carmaker are working with Canada’s Ucore Rare Metals Inc. and Matamec Explorations Inc., which are developing North American mines that would boost supplies of so-called heavy rare earths. Those are the less-abundant members of a group of 17 chemically similar elements critical to make a host of products from wind turbines to high-performance magnets for cars and weapons. Foreign buyers are being driven to find alternative producers after China slashed exports in 2010, partly to conserve material for its own industries. The Asian nation today supplies about 95 percent of global demand, triple its market share of 1990, presenting a risk for foreign makers of the next generation of wind turbines and environmentally friendly lighting technology.

Chris Powell (GATA): In his weekly commentary for the Rand Refinery in South Africa, David Levenstein expresses detailed skepticism about central bank gold reserves and cites all the recent developments publicized by GATA. Levenstein writes that "there seems to be growing evidence that the gold reserves of central banks have been pledged repeatedly through negotiable title deeds. If this is indeed the case, then as the current fiat monetary system falters and as more and more banks scramble to get their hands on their gold, when they discover that they no longer have any gold they will be forced to purchase gold, sending prices much higher." And in commentary posted at GoldSeek, Euro-Pacific Capital's John Browne cites some of the same developments. Browne writes: "From 1999 to 2009 central banks drafted and executed three central bank gold agreements that have the stated intention of coordinating the sale of gold on a global basis. Many private investors see these agreements as simply an attempt to 'demonetize' gold by creating strategic price volatility, and thereby investment uncertainty. The massive trading required to achieve these desired price movements must have resulted in relative changes to central bank holdings. But as banks do not reveal the owners of their gold deposits, the data is unavailable to prove this."

John Hathaway (Tocqueville gold fund manager): Hathaway gave King World News a pep talk about the monetary metal's prospects, predicting that resumption of gold's rise will be powerful and dramatic. when the (gold) market is ready, and I think it’s setting up to be ready, it’s not just going to creep higher. It’s going to go through these resistance levels the technicians talk about with a great deal of power. When I think about all the reasons why a rational investor should have exposure to precious metals, and remember that gold is very under-owned, the mainstream media hates it, the mainstream investment world hates it, but if you take a step back and say, ‘What’s driving it?’ [DS: There is a conspiracy to keep gold and silver prices low.] The things that are driving gold are more virulent, more powerful today than they were yesterday. So I would conclude by saying if there is weakness take advantage of it. If you haven’t got any exposure, you ought to be thinking about it. For those who are already on board, just stay with it because I think it’s going to be a very rewarding proposition.” Hathaway had this to say regarding silver: “If gold does start to show a resumption of its secular advance, which I think it will be doing before long, silver should benefit on a percentage basis even more.”

Harvey's comments on Wednesday's price action (basis 1:30 PM EST)

Quote:

Gold closed down by 90 cents to $1713.20.

Silver fell by 36 cents to $31.65. (Comex closing time)

However in the access market:

Gold: 1717.10

Silver: $31.82

Tuesday, November 6th Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/11/obama-for-another-4-yearsstudent-loans.html

Total, Nov (Silver), Dec (Silver and Gold) Open Interest

In silver

Quote:

The total silver Comex OI rose again by 1897 contracts back to 139,313. Yesterday's level came in at 137,416. This elevated level is of a major concern to our bankers as they need many of these silver leaves to fall. The big December contract saw it's OI fall by 1427 contracts from 71,185 down to 69,758. The guys who left December rolled into March 2013 silver.

In gold

Quote:

The total Comex gold OI rose by a rather large 5210 contracts to settle at 447,154 from yesterday's level of 441944. No doubt we saw new longs enter the gold arena taking on our bankers again. The non active November contract saw it's OI rise by 14 contracts from 30 up to 44. We had only 1 delivery notice filed yesterday so in essence we gained 15 contracts or 1500 additional gold ounces will stand in November. The big December contract is a little over 3 weeks away from first day notice. The December gold contract month saw it's OI rise by 951 contracts from 277,932 up to 278,883. This may be a little worrisome to our bankers.

Volume

In silver

Quote:

The estimated volume at the silver Comex came in at a very lofty 64,725 contracts.

The confirmed volume yesterday was also very high at 58,443.

In gold

Quote:

The estimated volume today was quite good at 251,626 up from yesterday's huge day at 251,381.

Inventory Numbers

In silver:

Quote:

Today, we had some activity inside the silver vaults.

We had no dealer deposit and no dealer withdrawal.

The customer had two deposits today:

i) Into Scotia: 1,197,658.800 oz of silver.

ii) into HSBC: 5999.42 oz

Total deposit: 1,203,658.22 oz

We had the following customer withdrawals:

i) Out of Brinks: 283,338.07 oz

Total customer withdrawal: 283,338.07 oz

We had 1 adjustment:

Out of the JPM vault: 111.28 oz was withdrawn from the customer account at JPM due to a counting error.

Registered silver remains this weekend at: 36.262 million oz

Total of all silver: 142.935 million oz.

In gold:

Quote:

Today, we again had tiny activity inside the gold vaults.

The dealer had no deposits and no withdrawals.

The customer had one deposit and no withdrawals:

Customer deposit:

i) Into Scotia 11,574/000 oz (possibly 3600 kilo bars?)

Adjustments: none

Thus the dealer inventory rests tonight at 2.587 million oz (80.466) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 3 notices filed for 15,000 oz.

In gold:

Quote:

The CME reported that we had 25 notices filed or 2500 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month is thus 26 contracts or 130,000 oz of silver.

To determine the number of silver ounces standing for November, I take the OI standing for November (23) and subtract out today's notices (3) which leaves us with 20 notices or 100,000 oz ready to be served upon.

Thus the total number of silver ounces standing in this non active month of November is as follows:

130,000 oz (served) + 100,000 oz ( to be served upon) = 230,000 oz

we gained 30,000 oz of additional silver ounces standing in the November delivery month.

In gold:

Quote:

The total number of notices filed so far this month is thus 287 notices or 28,700 oz of gold.

To determine what is left to be served upon, I take the OI standing for November (44) and subtract out today's notices (25) which leaves us with 19 notices or 1,900 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

28,700 oz (served) + 1,900 oz (to be served upon) = 30,600 oz (.9517 tonnes of gold). We gained 1500 oz of additional gold standing for November.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 916 down 3.27%. WTI crude was 84.86 down 3.43 today. Brent closed at

107.23, down 3.15. The spread between Brent and WTI was 22.37 down 0.28. US Treasury 30 year was 2.821 down 0.095. The dollar was up 0.15 points at 80.76. The PPT/Dow was down a huge 312.95 at 12,932.73, BELOW the very key round number of 13,000. Facebook was 20.41 down 0.70 (3.31%). Silver closed down 0.18 at $31.84. The November CCI was 557.00, down 5.25. December wheat was up 17.00 at 894.00. December corn was up 3.20 at 744.20. December lean hogs were up a huge 2.525 at 80.10. January feeder cattle were 145.325 down 0.175. December copper was 3.4415 down 0.0645. December natural gas was up 0.039 to close at 3.578. December coal is 59.65 down 0.23. Coal might as well shut down now and cut its losses, as O is the enemy of coal and has been warring against it.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

Thu, Nov 8, 2012 - 9:59pm
DayStar
Offline
Joined: Jun 14, 2011
2586
14106

~~Harvey 8 Nov 2012

This is DayStar (DS) with the Thursday Harvey Report.

GoldCore: Gold bullion is not only supported by the uncertainty of the “fiscal cliff” but the Eurozone debt crisis is set to deepen again. There remains the real risk of an exit from the single currency by one or more members and of course the risk of a global recession and Depression which will be responded to by more loose monetary policies by various central governments. More of the world's rich are moving their gold, silver and other valuables away from the economic turmoil in the West to the Asian capitals of Singapore and Hong Kong according to Reuters (see commentary). This is prompting vaulting and storage specialists in the increasingly prosperous region to increase their capacity by creating extra vaulting space. Demand for gold continues unabated. The World Gold council states that in October alone there were retail purchases of 2.5 billion dollars worth of gold. India, Thailand Hong Kong and China continue to bring in boatloads of gold. Obama’s second term is likely to see Ben Bernanke continue to devalue and debase the dollar which will lead to increased investment demand and store of wealth demand for gold and to investors seeking storage in Zurich, Singapore and Hong Kong.

Zero Hedge: Year-to-Date, the S&P 500 has just dropped back below Gold...Gold's performance year-to-date just surpassed that of the S&P 500 once again. If this remains the case into year-end, this will be the third year in a row that Gold has outperformed stocks. Looking forward, which 'asset' would you choose - Stocks with an implied volatility of 17% or Gold at 15.75% to the end of the year?

Bloomberg: AngloGold Ashanti Ltd. (ANG), the world’s third-largest producer of the metal, cut its dividend by half in the third quarter and reduced annual spending plans by $200 million after strikes idled all of its South African mines.

Harvey/ZH: Major points from the early morning market sentiment.

  1. Last night, the Greek vote on austerity narrowly passed parliament.
  2. The Euro/USA cross instead of rising, fell to a level of 1.274 from 1.276 area
  3. Schauble, the German FinMin stated it is still too early to decide whether Greece will receive its 31.5 billion euros already agreed upon months ago.
  4. Japan continues to collapse as it's current account surplus misses expectations as did it's machine orders.
  5. Europe limps along as it seems that Spain will not officially ask for a bailout as Rajoy does not want to lose his job. He will not seek help unless the 10 year bond yield rises to 7%.
  6. The ECB is now reluctant to activate the OMT (remember operation twist) as they can fund operations with yields where they are at right now.
  7. Spain sold 4.76 billion euros of bonds at slightly higher yields but below the 6% level and this encourages Spain to refuse an official bailout.
  8. Bond spreads over German bunds rose back up to 446 points as we are now coming to a point where investors shun Spanish bonds.
  9. The B.of E and the ECB make announcements as to interest rates early this morning.
  10. China meets to set new leadership for the country.

Sarah Marsh: German exports slid in September at the fastest pace since late last year, hit by declining demand among its crisis-wracked euro zone trading partners. Imports also fell, adding to evidence that the crisis is inflicting a heavy toll on the currency bloc's largest economy. The trade figures come after a string of disappointing data for Europe's economic powerhouse. Business sentiment has worsened, the private sector has contracted, joblessness has risen and industrial orders have fallen at their sharpest rate in a year. "The debt crisis has arrived in Germany: At year-end 2012, weaker demand from abroad comes on top of uncertainty that has weighed on investments since the summer of 2011," said Andreas Scheuerle at Dekabank. For a long time Germany's economy seemed impervious to the euro zone's troubles, but it is now succumbing.

Mark Grant (Out of the Box): Greece will run out of money by November 16. On the 21st of November the country has debt payments to make. This is the first European fiscal cliff. Now let us see who will fund the Greece bailout:

a) Will the IMF fund Greece? The IMF will not fund it's part in the bailout if they do not think that Greece will repay any of these funds. With real debt/GDP at 800% if you factor in corporate debt guaranteed by the sovereign, the sovereign debt itself, bank debt guaranteed by the sovereign, and derivatives guaranteed by the sovereign. The IMF has stated that the ECB and EU should take losses on those Greek bonds. The ECB and EU have said no to that. So it looks shaky on the IMF providing any funds.

b) Will the EU fund Greece? Austria, Finland and Holland have stated that they will not use any more of their funds to finance a Greek bailout. A two year extension of the bailout deal will need approximately 40 billion euros on top of the 32 billion euros withheld. It looks shaky if these guys can fund!

Grant details 3 financial cliffs facing the globe:

  • i) Greece has total debt of about 1 trillion Euros (1.5 trillion USA). A default of this size will be catastrophic. Then you must add in all of the side bets placed on Greece underwritten by our 5 major USA banks. This is why they have been trying to kick the can down the alley as often as they can.
  • ii) Spain: they have a price tag of around 400 billion Euros with huge banking holes as well as funding for the sovereign. Their debt to GDP levels is around 245% as you must factor in debts guaranteed by the sovereign including corporate debt and bank debt guarantees.
  • iii) The Fiscal cliff of the USA with huge increases in tax rates and debt hitting the debt ceiling. Grant then states that we must be worried about our preservation of capital i.e. a return of our money..and not to worry so much about a return on our money. DS: Lindsey Williams says the dollar will implode when QE4 is announced. They may use QE4 to help with the tax rates and debt ceiling.

Harvey: Early this morning, we get this surprise announcement at the Bank of England is halting it's QE program at 375 billion pounds after members questioned whether the QE was having any effect on it's economy. The Bank of England halted expansion of its bond-buying program as officials shifted focus to stimulating bank lending to support a recovery that remains lackluster. DS: Imagine that! Providing capital to business to stimulate the production of goods and services! What a novel idea! It's only a few hundred trillion dollars too late.

Zero Hedge: Things are rather unsurprisingly going from worse to worserer in Europe. Perhaps it is the anecdotal evidence we see in the now weekly riot-cams from Spain and Greece but just as we warned over a year ago, the truly scariest chart in Europe remains that of youth unemployment. The correlation (and causation) that runs from extreme levels of youth unemployment to general social unrest and anarchy is stunning throughout time (as we noted here and here). With Greek 'youth' unemployment jumping to a disheartening 58% (for August) - by far its highest ever - and Spain rising inexorably at 54.2%, the under-25 populations in these nations is truly set to burst (with overall unemployment rates of 25.4% and 25.5% respectively). Euro-zone youth unemployment overall has risen to 23.3% and while Greece jumped the most, Italy was close behind with a 1.2ppt rise to 35.1%. We are sure the austerity voted for last night by the politicians will 'help' - someone...



Harvey's comments on Thursday's price action

(basis 1:30 PM EST)
Quote:

Gold closed up again to the tune of $12.20 or 1725.40.

Silver also rose by 58 cents closing the Comex session at $32.23.



Wednesday, November 7th Gold and Silver Action

(basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/11/dexia-needs-new-bailoutgold-and-silver.html

Total, Nov (Silver), Dec (Silver and Gold) Open Interest


In silver


Quote:

The total silver Comex OI refused to follow in gold's footsteps. It's total OI fell by 1497 contracts from 139,313 down to 137,816 as the bankers got nervous and covered their shortfall. The bankers are becoming quite nervous as they pour over the data for silver. The non active November silver month saw it's OI rise from 23 to 27 for a gain of 4 contracts. We had 3 delivery notices filed yesterday so again we gained 7 additional silver contracts or 35,000 oz of additional silver will stand in November. The big December silver contract month saw it's OI fall by 3686 contracts from 69,758 down to 66,072. Some rolled, while others like the bankers covered their shorts. We probably had some newbie longs take some profits off the table in silver.


In gold


Quote:

The total Comex gold OI rose by 3,239 contracts as newbie longs piled into the metal. The print tonight on the total gold Comex rests at 450,393. Last night's OI stood at 447,154. The non active November gold contract month saw it's OI fall by 15 contracts from 44 down to 29. We had 25 delivery notices yesterday so in essence we gained 10 contracts or an additional 1,000 oz of gold will stand for delivery in November.

The big December contract is now 3 weeks away as it's OI rests tonight at 269,950 a fall of 8,933 contracts from yesterday's print of 278,883. The players who left December rolled in February.



Volume

In silver


Quote:

The estimated volume at the silver Comex came in at a very respectable 48,611.

The confirmed volume yesterday was humongous at 78,285.


In gold

Quote:

The estimated volume today at the gold Comex came in at a very light 146,212.

The volume yesterday was quite large at 306,313.


Inventory Numbers

In silver:

Quote:

Today, we had some activity inside the silver vaults.

We had no dealer deposit and no dealer withdrawal.


The customer had no deposits today:


We had the following customer withdrawals:

i) Out of Scotia: 309,750.3 oz

Total customer withdrawal: 309,750.30 oz


We had 2 adjustments:

Out of the CNT vault: 62,047.000 oz was withdrawn from the customer account at CNT and re enter the dealer at CNT

ii) Out of the Delaware vault: 83,873.357 oz of silver was withdrawn from the customer and reentered the dealer at Delaware.


Registered silver remains this weekend at: 36.408 million oz.

Total of all silver: 142.625 million oz.


In gold:

Quote:

Today, we again had tiny activity inside the gold vaults.


The dealer had no deposits and no withdrawals.

The customer had one deposit and no withdrawals:

Customer deposit:

i) Into Scotia 1478.90 oz


Adjustments: none


Thus the dealer inventory rests tonight at 2.587 million oz (80.466) tonnes of gold.



Delivery Notices

In silver:


Quote:

The CME reported that we had 10 notices filed for 50,000 oz.


In gold:


Quote:

The CME reported that we had 4 notices filed or 400 oz of gold.



Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver


Quote:

The total number of silver notices filed this month is thus 36 contracts or 180,000 oz of silver. To determine the number of silver ounces standing for November, I take the OI standing for November (27) and subtract out today's notices (10) which leaves us with 17 notices or 85,000 oz ready to be served upon.


Thus the total number of silver ounces standing in this non active month of November is as follows:

180,000 oz (served) + 85,000 oz ( to be served upon) = 265,000 oz.

We gained 35,000 oz of additional silver ounces standing in the November delivery month.


In gold:

Quote:

The total number of notices filed so far this month is thus 291 notices or 29,100 oz of gold.

To determine what is left to be served upon, I take the OI standing for November (29) and subtract out today's notices (4) which leaves us with 25 notices or 2,500 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

29,100 oz (served) + 2,500 oz (to be served upon) = 31,600 oz (.9828 tonnes of gold). We gained 1000 oz of additional gold standing for November.


Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 916 unchanged. WTI crude was 85.17 up 0.31 today. Brent closed at 107.39, up 0.16. The spread between Brent and WTI was 22.22 down 0.15. US Treasury 30 year was 2.769 down 0.052. The dollar was up 0.03 points at 80.79. The PPT/Dow was down a large 121.41 at 12,811.323, BELOW the very key round number of 13,000. Facebook was 19.99 down 0.48 (2.34%). Silver closed up 0.47 at $32.32. The November CCI was 558.50, up 1.50. December wheat was up 8.40 at 902.40. December corn was down 3.00 at 741.20. December lean hogs ere up 0.100 at 80.20. January feeder cattle were 145.70 down 0.175. December copper was 3.4695 up 0.0280. December natural gas was up 0.030 to close at 3.608. December coal is 60.10 up 0.45.


Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.


Goooood day!

Thu, Nov 8, 2012 - 10:42pm
Mr. Fix
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DS,

Thanks again.

"When the student is ready, the teacher will appear."
Fri, Nov 9, 2012 - 7:34am
DayStar
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Some Effects of the 8 Nov 12 Nor'easter

AAA Spokesman Michael Green said that even though power has been restored to many stations, the real issue lies with the distribution network. “This week, it is shifting more to being a supply-system problem: getting gasoline from storage to distribution terminals to gas stations to the car you drive,” he said. Nine out of 57 petroleum terminals impacted by the hurricane remain closed according to federal energy officials. Of those nine, seven are located in New Jersey, one in Brooklyn and one on Long Island.

National Guard troops remain active in the region as more equipment is being brought in against all weather conditions.

Fuel supplies are now so limited that fears of martial law echo amongst residents as crime and violence are likely to increase in coming days. Many businesses and employees have already been effected from the crisis.


Yahoo News reported, “Overall, about 700,000 people remain without electricity in the region, according to the latest estimate from FEMA. The nor’easter knocked out power to an additional 40,000 people Wednesday night.” According to GasBuddy.com’s Fuel Shortage Tracker, things are looking pretty grim in and around New York City on the fuel front, not to mention the snow storm moving through now adding 200,000 more power outages to the region. Currently over 20,000 NYC public housing residents still remain without power raising questions about how people will stay warm.

Meanwhile Governor Andrew Cuomo stated Thursday in an announcement to the press that this storm will likely cost the state of New York over $33 billion.

https://beforeitsnews.com/weather/2012/11/sudden-insatiable-demand-for-gasoline-could-trigger-martial-law-in-nyc-2437680.html

DayStar

Fri, Nov 9, 2012 - 7:37am (Reply to #130)
DayStar
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Abraham Bernanke wrote: I

Abraham Bernanke wrote:

I mostly read all of your posts when I get the time as many others do and yet am rude enough to never say thankyou. Well just to let you know your effort in posting here is very much appreciated and I will now go back to lurk and read some more.

DayStar, THANKYOU!

Dear Mr. Bernanke, thank you so much for the note of appreciation. I am always grateful for appreciative notes from my readers. It is my payment for the effort that goes into Harvey.

DayStar

Fri, Nov 9, 2012 - 7:39am (Reply to #133)
DayStar
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Mr. Fix wrote: Thanks

Mr. Fix wrote:

Thanks again.

Much appreciation to you, a no doubt exhausted Mr. Fix. Wonder how things are going now that the nor'easter has dumped more misery on Jerseyland?

DayStar

Fri, Nov 9, 2012 - 12:50pm (Reply to #133)
DayStar
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Mr. Fix wrote:Thanks

Mr. Fix wrote:

Thanks again.

Thanks, Mr. Fyx. Here is some information about Sandy that might shock you, but, knowing Sandy's source, maybe not.

https://vaticproject.blogspot.com/2012/11/alert-unbelievable-facts-about.html

DayStar

Sat, Nov 10, 2012 - 2:29pm
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~~Harvey 10 Nov 2012

This is DayStar (DS) with the Saturday Harvey Report.

The FDIC siezed the following banks Friday night:

  • Citizens First National Bank, Princeton, IL 3731
  • Heritage Bank of Florida, Lutz, FL 35009

Harvey on the Commitment of Traders Report (COT)

Gold: Hugely bullish for gold and this is probably the reason why we saw such a rise in gold this week. The commercials went net long this week again to the tune of 15,022 contracts

Silver: The commercials who have been perennially short in silver covered 2267 contracts from their short side, fleecing our large specs.

Zero Hedge: Bank Of England To The Fed: "No Indication Should, Of Course, Be Given To The Bundesbank..." As the London Gold Pool was collapsing in 1968, the Federal Reserve and the Bank of England conspired to conceal from the German Bundesbank the deficient gold content of U.S. gold bars, apparently made from coin melt. These bars were being transferred to the Bundesbank to conclude gold swaps. This is another reason why the Bundesbank might want to cut off inquiry into the security of its foreign-vaulted gold. The memo cited by Zero Hedge is from the vaults of the Bank of England in which in 1968 the B. of E complained to the USA of sub standard bars. Almost all of the USA gold at Fort Knox is official gold but of coin melt variety. The USA melted all of the 1933 double eagles and single eagles plus other years and also confiscated many citizens gold and this was melted into bars with purity of 90%. Good delivery bars are .999%. The weights were supposedly accurate. If the bars weighed 110.2 oz, they would record 110.1 x 90% or 99.09 oz. The Federal Reserve Bank of NY was basically a foreign depository to hold ear-marked gold of nations. The foreign bars were always good delivery bars (.999 fine) but kept in NY for safety issues. How on earth did coin melt gold arrive at the Federal Reserve Bank of NY? The plot thickens... DS: I tried to follow the link ZH made available to the 1968 memo, and either I don't know how to use the BOE website (quite possible), or the BOE has now made the full text of the ZH cited memo unavailable.

Dave From Denver: The Royal Canadian Mint ETR is just another paper bullion scam. The new Royal Canadian Mint ETR, priced on Monday at $20 per unit, initially had each unit entitling the holder to a .619525 share of 1 oz. of silver bullion to be safekept by the RCM. The RCM does not directly link the prospectus on its website. In fact, it made it difficult to track down and get a copy of it. To begin with, like all the other paper metal trusts (except the Sprott trusts; Sprott appears genuine), the RCM is the custodian of the bullion and states up front that the silver which is supposed to be for the trust will be held in an unallocated account. So if RCM hypothecates the silver, the RCM ETR has no legal standing for a superior claim. It would have to wait in line with all other claimants. Thus the RCM ETR is a fractional bullion scam. Further, in order to make a redemption claim on the bullion, the holder must own a minumum of 5000 ETRs, or roughly $100,000 worth of ETRs. For most investors, $100,000 is too high of a commitment, and most ETR holders will never be able redeem the shares and would instead sell the ETRs in the market in exchange for paper dollar settlement. Also the redemption process itself is quite burdensome. The person redeeming has to follow a mult-step redemption process perfectly, or the RCM can cancel the redemption. Besides the paper work involved, the redeemer ALSO has to provide for a Carrier to go to the RCM vault and pick up the silver. This includes the fact that redeemer bears all the risk and expense of pick-up, transfer and delivery. While on the surface not unreasonable, typically the delivering party will take the responsibility of this step, including any insurance involved. The way this part of the ETR is structured tells us that the RCM was looking to erect yet another hurdle in order to discourage actual physical redemption and further reinforce the fractional scam that has been created. Finally, if RCM gets too many redemption requests, or they simply don't want you to get the physical, they can terminate the redemption request at any time at their sole discretion.

Adrian Ash (Bullion Vault): Ben Traynor of Bullion Vault weighs in on gold/silver trading this week:

  1. "gold" inflows into the ETF's amounted to 10.5 tonnes in the last 3 days.
  2. gold traders more bullish now as compared to August 24.
  3. European thinking is that funding for Greece is over.
  4. Spain still has not asked for help despite higher unemployment which taxes the state with benefit payments. Spain has 100 billion euros of debt expiring debt year. On top of that its banks need approximately 200 billion euros to replace the massive run on its banks.

Ben Traynor (Bullion Vault): The key question for investors," says Bank of America Merrill Lynch economist Lu Ting, "is whether China's economic growth has truly bottomed out. Based on October data… the answer is firmly yes." China's consumer price index meantime shows inflation fell to 1.7% last month, down from 1.9% a month earlier. "The October CPI confirms that inflation is currently not a main concern for the government," says Nomura analyst Zhang Zhiwei. "Policy easing will likely continue in Q4 to support a growth recovery." Chinese gold bullion demand is expected to hit 860 tonnes this year, a 1% increase on 2011, according to Philip Klapwijk, global head of metals analytics at consultancy Thomson Reuters GFMS. "China will overtake India [this year]," Klapwijk told the online Reuters Global Gold Forum Thursday, "both in overall demand terms and as the world's largest jewelry market."

Chris Powell (GATA): James Turk was interviewed Wednesday by Lauren Lyster on her "Capital Account" program on the Russia Today network, discussing gold's superiority to other currencies, the Federal Reserve's failure to deliver on its promise of "quantitative easing" in recent months, and the counterparty risk of "paper gold." Gold is the ultimate money. However it is physical metal that is money not paper gold. Turk describes the risk of a counterparty default due to the huge number of paper gold obligations underwritten on increasingly scarce gold metal

Chris Powell (GATA): Egon von Greyerz gets apocalyptic today in an interview with King World News, predicting exchange controls, hyperinflation, the collapse of stock and bond prices, and cats and dogs sleeping together. Of course we'll still probably have some remnants of the good old days, with CPM Group's Jeff Christian and Kitco's Jon Nadler still recommending selling gold, but von Greyerz thinks it should be bought and stored on another planet, or at least in another country.

Dr. Jeffrey Lewis (via GoldSeek.com): Most futures traders have learned to accept or pay cash in exchange for rolling their futures contracts out when delivery approaches. Just about everybody now knows that physical delivery cannot actually happen in the silver market. Not even close to enough actual metallic silver exists to satisfy all of the outstanding futures contracts. Those who trade futures are captured by the paper market and would rather not be part of a default, so they remain silent about manipulation and its effects. The truth is that the fundamentally unbalanced process of the seller of a futures contract being able to make a cash payout in lieu of delivering physical metal simply facilitates price suppression. As GATA and others have been pointing out for years, most miners are also complicit in this price suppression process, as well as those who business it is to evaluate and recommend them.

DS: Zero Hedge does not publish articles very often accusing the banks of manipulating gold and silver. Perhaps this quote is why: "A chart of gold spiking or plunging is not evidence that a central bank signed an trade ticket, ordering said move". That is a true statement. However, when the COT comes out and said agent (JPM) of the central bank (the Fed) is caught with the smoking gun of dramatically increased naked shorts that were incurred with no thought being given to the profitablity of the trade (e.g. 192 moz of paper silver pumped into the market in ten minutes), then you have collusion and manipulation, but ZH chooses not to report on these events, opting to wait for more concrete evidence, whatever that might be.

Anonymous (truthingold.blogspot.com): "The world will soon wake up to the reality that everyone is broke and can collect nothing from the bankrupt, who are owed unlimited amounts by the insolvent, who are attempting to make late payments on a bank holiday in the wrong country, with an unacceptable currency, against defaulted collateral, of which nobody is sure who holds title." DS: Hmmmm, funny, but...in the main, so true.

JessesCrossroadsCafe: Unfortunately for Larry Summers, Ben Bernanke, and their friends at the BIS, they have not yet figured out how to print physical gold, silver, and other essential commodities, and the world is reaching the point where it might simply start ignoring the New York based markets with respect to essential commodities such as basic materials, oil, foodstuffs, and the like, as they become increasingly irrelevant, fraudulent, and Orwellian. And then where will the financial engineers be, except with no more excuses and no place to hide?

TruthInGold: Gold is the world's oldest currency. You exchange your fiat currency (dollars, euros, yen, yuan) into gold as an insurance policy against catastrophic Central Bank and Government policies which serve to destroy the value of fiat currencies and destroy democracy. Gold can ONLY be considered an investment to the extent that it remains significantly and historically undervalued in relation to the fiat currencies against which its value is measured. Otherwise it remains the world's oldest currency and is completely free [DS: if held in bullion form in one's own possession] from the counterparty risk associated with currency by Government fiat (i.e. fiat currencies rely on a Government's "full faith and credit.")

Lindsey Williams says the elites have gotten out of paper assets and are using the present time of price suppression to buy tons of gold and silver. If O is going after Wall Street for non-support, the peak opportunity to sell paper may be past, and it would probably be a good time to cash out any remaining paper and buy PM bullion for delivery into your possession.

John Williams (www.shadowstats.com): There is no reason to expect that renewed efforts at federal budget deficit reduction will result in anything more than the usual smoke and mirrors, further increasing, not reducing, long-term U.S. sovereign-solvency risk. In reality, the U.S. economy has not recovered, and no recovery is pending. Consumer liquidity remains severely impaired, and broad business activity continues to falter anew. As a result. the actual federal budget deficit going forward will be much worse than the relatively rosy numbers being used as the basis for government negotiations.

Dave in Denver: On a real inflation basis, not the Government CPI basis, our economy has remained in contraction since at least 2008. Congress will kick the can down the road, but the increasing chasm between expenses and revenues will have to be filled with even more Treasury debt issuance. This means more QE. More QE means even higher prices for gold and silver. The reason more QE will be needed is the same reason the Fed has continued and expanded QE since its inception in 2008: 1) the banks need liquidity or they will collapse; 2) the Treasury needs a new source of cash or interest rates will go to the moon. The decline in foreign participation in Treasury auctions has been replaced by the Fed's participation, aka QE. This chart (https://3.bp.blogspot.com/-1_1QBwR5g8o/UJ1IZLs_-MI/AAAAAAAABDE/In_wRTBF9I0/s400/FedBS.png), which I hypothecated from www.clusterstock.com, shows this fact nicely. Not only does it show graphically the fact that the Fed is increasing the size of its balance sheet by buying Treasuries in order to make up for the loss in foreign participation, but it shows the concomitant correlation of the price of gold. The orange line (bottom line) shows the projected growth in the Fed's balance sheet if it just maintains the existing QE policy. The red line shows the trajectory of the Fed's balance sheet if it implements the highly telegraphed next phase of QE. You can see the expected trajectory for the price of gold under the "red line" scenario. What about when the impending debt ceiling increase has to be increased again by next summer? See where this is headed? QE to infinity.

Harvey's comments on Saturday's price action (basis 1:30 PM EST)

Quote:

Gold closed up Friday to the tune of $4.90 to finish the comex session at $1730.30.

Silver also had a good day finishing up 36 cents to $32.59.

Friday, Nov 9th Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/11/another-farce-of-jobs-reportmassive.html

Total, Oct (Gold), Nov (Silver), Dec (Silver & Gold) Open Interest

In silver

Quote:

The total silver comex OI rose an astonishing 3,809 contracts, from 137,816 up to 141,625. We are now close to multi year highs on silver OI. This no doubt is causing some real consternation to our bankers as we are getting close to first day notice in silver in December (remember that December is the only month of the year that we have both silver and gold with an active delivery). The bankers are surely having their problems trying to contain silver as it rose today and gold was held in check. You can be sure that we will see some midnight oil sessions this weekend as our bankers try and figure out what to do with respect to silver.

The non active silver contract month of November saw it's OI rise by 2 contracts, from 27 to 29. We had 10 delivery notices on Thursday so again we gained 12 contracts or an additional 60,000 silver ounces will stand for delivery.

The big December contract month saw it's OI fall by only 771 contracts from 66,072 down to 65,301 as many are still hanging in their refusing so far to roll to a future month.

DS: Earlier this week Harvey said if the silver OI got above 140,000 the bankers were in trouble. He didn't say why or how, but the OI is now above 140,000 and that puts them in jeopardy according to Harvey.

In gold

Quote:

The total comex gold open interest rose by 2264 contracts on Friday from 450,393 to rest the weekend at 452,657. This print is of course, basis Thursday night after we had our second day in a row of an outside day reversal. This shows the bankers are digging in their heels offering non backed paper as more longs enter the fray. The non active November gold contract saw it's OI rise by 21 contracts. We had only 4 delivery notices filed on Thursday so in essence we gained 25 contracts or an additional 2,500 oz of gold will stand in November. The big December contract saw it's OI fall by 7,712 contracts from 269,950 to 262,238 as the paper players rolled into February.

Volume

In silver

Quote:

The estimated volume today was quite large at 58,716.

The confirmed volume yesterday was also large at 57,768.

In gold

Quote:

The estimated volume today was quite good at 175,850.

The confirmed volume on Thursday was even better at 197,696.

Inventory Numbers

In silver:

Quote:
Friday, we had huge activity inside the silver vaults.

we had no dealer deposit and no dealer withdrawal.

The customer had two deposits:

i) Into CNT: exactly 149,789.000 oz (again CNT deposits are an exact number with decimals at 000...maybe a little suspicious.)

ii) Into JPM: 785,407.80 oz

Total deposit: 935,196.800 oz

We had the following customer withdrawals:

i) Out of HSBC: 10,001.997 oz

ii) Out of JPM: 544,124.132 oz

Total customer withdrawal: 554,126.129 oz.

We had 0 adjustments:

Registered silver remains this weekend at: 36.408 million oz.

Total of all silver: 143.006 million oz.

In gold:

Quote:

Friday, we had huge activity for a change inside the gold vaults.

The dealer had no deposit but did have one withdrawal.

i) dealer withdrawal: a biggy 36,166.427 oz out of Scotia (1.12 tonnes of gold)

The customer had no deposit but had two withdrawals:

i) out of HSBC: 450.10 oz

ii) out of JPM: 1710.903 oz

Total customer withdrawal: 2161.003 oz

Adjustments: none

Thus the dealer inventory rests tonight at 2.551 million oz (79.34) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 4 notices filed for 20,000 oz.

In gold:

Quote:

The CME reported that we had 10 notices filed or 1000 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month is thus 40 contracts or 200,000 oz of silver.

To determine the number of silver ounces standing for November, I take the OI standing for November (29) and subtract out Friday's notices (4) which leaves us with 25 notices or 125,000 oz ready to be served upon.

Thus the total number of silver ounces standing in this non active month of November is as follows:

200,000 oz (served) + 125,000 oz (to be served upon) = 325,000 oz.

We gained 60,000 oz of additional silver ounces standing in the November delivery month.

In gold:

Quote:

The total number of notices filed so far this month is thus 301 notices or 30,100 oz of gold.

To determine what is left to be served upon, I take the OI standing for November (50) and subtract out Friday's notices (10) which leaves us with 40 notices or 4,000 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

30,100 oz (served) + 4,000 oz (to be served upon) = 34,100 oz (1.06 tonnes of gold). We gained 2500 oz of additional gold standing for November.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 940 up 2.62%. WTI crude was 86.07 up 0.57 today. Brent closed at 109.40, up 2.01. The spread between Brent and WTI was 24.23 up 2.01. US Treasury 30 year was 2.7520 down 0.0170. The dollar was up 0.23 points at 81.03. The PPT/Dow was up 4.07 at 12,815.39, BELOW the very key round number of 13,000. Facebook was 19.21 down 0.78 (3.90%). Silver closed up 0.32 at $32.63. The November CCI was 558.87, up 0.37. December wheat was down 16.00 at 886.40. December corn was down 2.40 at 738.60. December lean hogs were up 0.550 at 80.750. January feeder cattle were 145.60 down 0.275. December copper was 3.4455 down 0.0240. December natural gas was down 0.105 to close at 3.503. December coal is 60.03 down 0.07.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

Sun, Nov 11, 2012 - 4:53pm
DayStar
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Absentee Ballots

Mon, Nov 12, 2012 - 8:53pm (Reply to #139)
ajwgator
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Joined: Sep 20, 2012
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Who Won?

Looks like living out these next four years are going to be rough. Things continue to "no longer add up" at all. All the scuttlebutt about lower number of votes compared to McCain's numbers and now the delivery of absentee military ballots being FUBAR...not to mention all of Wall Street money supposedly backing Romney this time compared to 2008. Strange results for an election that most felt would go to Romney and ends up "in the bag"! Nothing like the saying that went somehing like this..."it doesn't matter how many votes, just who counts them". Soros did a good job with his new company didn't he. Oh well more to the SOS to pile on top of the birth certificate.

Got gold....check Got silver.... check Lay low.... double check!

Mon, Nov 12, 2012 - 9:15pm
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~~Harvey 12 Nov 2012

This is DayStar (DS) with the Monday Harvey Report.

Harvey: take a good look at Hong Kong importation of gold in September: a whopping 69.7 tonnes of gold. If we extrapolate that on a yearly basis we would have a total of 836.4 tonnes of gold or 38% of annual gold production ex China and ex Russia who do not export any gold. DS: China's trade surplus is going into gold and not into US Treasuries.

cPowell (Times of India): The price of gold this Dhanteras has been the highest in five years. But this has done little to mar the spirit of buyers, who are splurging on the yellow metal like never before (sales are up 30%). In fact, people were seen queuing up in jewellery shops across the city to buy gold, silver, and other precious metals. Buying gold and silver is considered auspicious on this occasion. For those who cannot afford the precious metal, steel offers a good option. Preetika Duwarah, a resident of Chandmari, said, "I brought some stainless steel plates as the price of gold is very high and I can't afford it." DS: Sounds like the US of A .

Ben Traynor (Bullion Vault): Bullion vault also weighs on the huge demand for gold coming from China and India. Traynor states that gold only represents 2% of official reserves of China. Gold got a boost this morning with Japan reporting another contraction in their economy by .9%. The United States is set to become the world's largest oil producer by 2017, largely thanks to shale production, the International Energy Agency reports. "[Gold] prices have recently been supported by official sector [central bank] buying," London Bullion Market Association chairman David Gornall told the LBMA's annual conference in Hong Kong this morning. This Friday, Greece faces 5 billion euros of bonds maturing, and they really have no way of paying for it, as they basically ran out of money today. How are they going to pay their federal employees? DS: Well, they still have some tax revenues. They can lay off everybody that is not required. They probably should pay some of the army folks if they want to stay in power. The first rule of government is to pay your military. <g> They are the source of power. Without the mighty men of valor, the ruler is at the mercy of the whims of the senate and the masses.

GoldCore: The Chinese plan to increase the percentage allocation of their trade suplus to the official purchase of gold. Goldcore joins Bullion Vault in commenting on the huge demand for gold coming from India. Goldcore touches on big news from Shanghai where the Chinese announced that they will launch an interbank market where they will begin to trade spot contracts in precious metals immediately and then in the next month they will begin trade of futures. As the domestic market matures and opens up, the exchange will launch over-the-counter trading, gold ETFs, Friday night trading and improve the leasing market. They are thus willing to take on the LBMA. According to Reuters reporting from the LBMA, the People's Bank of China general director, Xie Duo, announced that the Chinese central bank has no specific time frame on issuing more gold import licenses to banks, but is keen to further open up the market to the international community. The LBMA chairman believes that China will overtake India as the largest holder of private gold in the world. However, Indians countered by remarking that gold is the best commodity to invest in regardless of price levels. Goldcore also comments on the huge importation of gold coming into Hong Kong. DS: Lindsey Williams says the elites' plan is to make China the strong one. That has certainly been the case. Also, if they can become the gold trade center of the world, they can be the ones profiting from rehypothecation and fractional reserve gold banking.

Bloomberg: Bank of America Sees Silver Averaging $39 an Ounce in 4Q 2013. “Easy monetary policy will be a substantial incentive for investors to increase their precious metal holdings in 2013,” bank says in report dated Nov. 9.

John Embry (Sprott Asset Management): John Embry marvels at the pace of China's accumulation of gold -- not just the country's full domestic production, kept at home, but likely as much of a third of the annual gold production of the rest of the world. Where, Embry asks, is all the gold imported by China coming from? Likely in large part from Western central banks, a source that probably won't be able to supply much more. “After Chinese imports are subtracted from yearly production totals, that only leaves about 1,500 to 1,700 tons of gold for the rest of the world, and there is way more demand than that in the rest of the world. So I continue to believe there is Western government dishoarding of gold, but that has a finite life span because I think the physical shortages are intensifying.” Embry: I don’t think the US economy is strong enough to remove the tax cuts, and put in place the mandated spending cuts. Given the vulnerability of the US economy, that could be devastating. So I’m of the mind that the US will up the debt limit and pay lip service to the issues, but nothing of significance will be done. It is going to be a race to see which country hyperinflates first, but I think the world in general is headed in that direction. Who gets to the finish line first, I’m not sure, but I think the Japanese have the recipe to be at the front of the race.” Embry agrees with Egon von Grayerz apocalyptic view of Japan. Japan is now trapped into printing money because they have a debt-to-GDP ratio that is so far out of line with the rest of the world that it’s almost unfathomable. When you put that into context with an aging population which owns all of these bonds, but they are not in a position to continue buying them, they have no alternative other than to keep printing. DS: And no future but collapse of the yen and hyperinflation.

John Embry (Sprott Asset Management): I think there has been interference in [the mining share] market as well, for the express purpose of keeping the public away. At the same time, the hedge funds have seen easy money so they have been working the short side of the market. You have had a perfect negative storm for the mining shares. So the shares remain amazingly cheap, even though there is some interest in the larger vehicles. But the juniors, by and large, continue to languish. I believe I will be proven correct on the gold bullion price. When gold moves up sharply in the next 12 months, that will finally unleash the gold shares. The shares are way behind the bullion and they will play catch up. Traditionally, in a gold bull market, the share prices move at three times the speed of the gold price rise. This time they are starting from a much lower level, so I’m very optimistic these things are going to be terrific investments, and nobody owns them anymore.” DS: Ranting Andy believes these shares will never be allowed to perform, as they function like the Comex to discourage ownership of gold, and they were easy to manipulate, for they can issue unlimited paper shares, and never have to worry about delivery problems. Andy says even if the shares are allowed to rise, they will be hit with windfall profit taxes, nationalization, and much higher production costs.

Harvey:

  1. Japan: Asia had it's disappointments with Japan's 3rd quarter GDP contracting a huge 3.5% (y/y) as exports slid, which is a death knell to an exporting nation. Not only that but consumer spending inside the country collapsed. Japan is now in a deep recession.
  2. China: Credit growth collapsed as the central bank of China had new loans of only 505 billion yuan in October down from 623 new loans in September.
  3. India: Industrial production over there fell 0.4% in September as India's economy synched with the rest of the world. India is witnessing huge inflation as consumer prices rose 9.75% on an annual basis. Looks to us like we have global stagflation with a vengeance.
  4. Greece: Will Greece be bailed out or not, that is the big question? Today's EU conference will not give any indication of where they are going with this as they are using the excuse of the Troika report which everyone on the planet knows what it says.

DS: The politicos have been gushy lately about how wonderful Greece has been doing. If the troika comes in with a negative report, Greece gets no money, they default, and $1 trillion in debt explodes with a follow on of multi-trillions of derivative calls around the globe. The result would be not only the European economy grinding to a halt with bank holidays and commercial shut down, but Japan would collapse along with its industry and the US would follow. This scenario will not be triggered until the cartel figures it has squeezed all of the blood out of the turnip and they are ready to assume control.

Bruce Krasting: The IRS of France, the National Directorate Of Tax Investigations (DNEF), has covertly sent agents into Switzerland to pursue tax evasion cases against French citizens. The Agents entered Switzerland claiming they were tourists. The Agents were not sightseeing in the Alps. They were doing what spies always do. They were covertly gathering information on enemies of France. In this case, the "enemies" are French citizens. To be clear. This is 100% illegal activity in Switzerland. Banking secrecy is still the law of the land in Switzerland. There have been several cases in the past few years where a Swiss bank employee has stolen information on private accounts. The lists of “names” were later sold to tax authorities in the US and Germany. Switzerland has vigorously prosecuted the individuals involved. Several have gone to jail; others are pending extradition and trial. DS: Makes me wonder who leaked this story. Somebody intended for this to get out and cause a stink. Don't know what the motive is yet. We will just have to watch and follow the money trail.

Harvey's comments on Monday's price action (basis 1:30 PM EST)

Quote:

Gold closed today basically unchanged at $1730.30.

Silver lost 8 cents [to close Comex at $35.55].

Friday, November 9th Gold and Silver Action (basis 1:30 PM EST)

https://harveyorgan.blogspot.com/2012/11/japan-contracts-in-gdp-by-another-9huge.html

Total, Nov (Silver), Dec (Silver and Gold) Open Interest

In silver

Quote:

The total silver Comex OI rose steadily again from 141,625 to a multi year high of 142,611. The rise in OI in silver has been slow and methodical and impervious to price. The rise in silver OI has the bankers baffled as it is quite possible that we are dealing with an official sector willing to take on the criminal bankers at their own game (China maybe?). We will have to wait until December to see how this plays out. The non active November silver month saw it's OI fall by 1 contract from 29 down to 28. We had 4 delivery notices filed on Friday so in essence we gained 3 contracts or 15,000 oz of silver standing for November.

In gold

Quote:

The total Comex gold open interest rose by a humongous 11,640 contracts as the criminal bankers supplied the necessary non backed paper. The non active November gold month saw it's OI fall by 2 contracts. We had 10 delivery notices on Friday so we gained 8 contracts or an additional 800 oz of gold will stand in November. The big December gold month is less than 3 weeks away from first day notice. Here, the December month saw it's OI fall by 8329 contracts from 269,950 down to 261,621. Almost all of those who sold December landed into the February contract.

Volume

In silver

Quote:

The estimated volume at the silver Comex came in at a very low 33,181.

The confirmed volume on Friday was much better at 61,039.

In gold

Quote:

The estimated volume today at the gold Comex was quite tame at 107,058.

The confirmed volume on Friday was much better at 197,696.

Inventory Numbers

In silver:

Quote:

Friday, we had fair activity inside the silver vaults.

We had no dealer deposit and no dealer withdrawal.

The customer had one deposit:

i) Into Brinks: exactly 8,000.000 oz

Total deposit: 8,000.000 oz

We had the following customer withdrawal:

i) Out of Delaware: 275,992.823 oz

Total customer withdrawal: 275,992.823 oz

We had 2 adjustments:

i) Out of CNT 62,173.000 oz (another of those perfectly round numbers) leave the customer and enter the dealer.

ii) out of Delaware: 46,998.536 oz leave the customer and enter the dealer.

Registered silver remains tonight at : 36.518 million oz

total of all silver: 142.738 million oz.

In gold:

Quote:

Today, we had huge activity for a change inside the gold vaults.

The dealer had no deposit and no withdrawals.

The customer had two deposits:

i) into Brinks: 450.00 oz

ii) into JPM: 73,113.436 oz

Total customer deposit: 73,563.436 oz

We had the following customer withdrawal:

i) Out of HSBC: 30,049.44 oz

Total customer withdrawal: 30,049.44

Adjustments: none

Thus the dealer inventory rests tonight at 2.551 million oz (79.34) tonnes of gold.

Delivery Notices

In silver:

Quote:

The CME reported that we had 8 notices filed for 40,000 oz.

In gold:

Quote:

The CME reported that we had 4 notices filed or 400 oz of gold.

Contracts Left To Be Delivered + Month-To-Date Summary

In silver:

For those that are interested in the alleged bullion in the vaults of Comex by date, you can see it here:

https://www.investmenttools.com/futures/metals/Base_Metals_Inventory_London_and_Shanghai.htm#Comex_silver

Quote:

The total number of silver notices filed this month is thus 48 contracts or 240,000 oz of silver. To determine the number of silver ounces standing for November, I take the OI standing for November (28) and subtract out Friday's notices (8) which leaves us with 20 notices or 100,000 oz ready to be served upon.

Thus the total number of silver ounces standing in this non active month of November is as follows:

240,000 oz (served) + 100,000 oz ( to be served upon) = 340,000 oz

We gained 15,000 oz of additional silver ounces standing in the November delivery month.

In gold:

Quote:

The total number of notices filed so far this month is thus 305 notices or 30,500 oz of gold.

To determine what is left to be served upon, I take the OI standing for November (27) and subtract out today's notices (4) which leaves us with 23 notices or 2,300 oz left to be served upon our longs.

Thus the total number of gold ounces standing for delivery in November is as follows:

30,500 oz (served) + 2,300 oz (to be served upon) = 32,800 oz (1.02 tonnes of gold). We gained 800 oz of additional gold standing for November.

Select Commodity Prices:

The Bloomberg Baltic Dry Index (BDI) closed at 965 up 2.66%. WTI crude was 85.42 up 0.33 today. Brent closed at 109.07, down 0.33. The spread between Brent and WTI was 24.65 down 0.65. US Treasury 30 year was 2.7545 down 0.007. The dollar was up 0.01 points at 81.04. The PPT/Dow was down 0.31 at 12,815.08, BELOW the very key round number of 13,000. Facebook was 20.07 up 0.86 (4.48%). Silver closed down 0.21 at $32.42. The January CCI was 558.00, down 2.00. December wheat was down a large 28.00 at 857.60. December corn was down 20.60 at 718.00. December lean hogs were down 0.425 at 80.375. January feeder cattle were 145.925 down 0.025. December copper was 3.4680 up 0.0225. December natural gas was up 0.067 to close at 3.570. December coal is 60.62 up 60.03.

Thank you for reading the Harvey Report. There is much more on Harvey's blog https://harveyorgan.blogspot.com.

Goooood day!

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