Gold and Silver Pop – ZIRP Is Still In Place and May Turn Negative!
by Harvey Organ FOMC: RATES STILL AT ZERO/ONE FED GOVERNOR HINTS OF NEGATIVE INTEREST RATES IN USA/GOLD/SILVER SHOOT UP/IN REALITY THE FED HAS NO IDEA WHAT IT IS DOING OR WHAT WILL HAPPEN TO THE ECONOMY AT ZIRP/NIRP/LOUSY PHILLY MFR REPORT/REVISIONS TO THE JOB REPORT LOWERS THE “JOBS” BY 208,000 (AND PRIVATE JOBS BY 255,000), KYLE BASS STATES THAT CHINA HAS BANKING ASSETS OF 31 TRILLION USA OR 300 X GDP: A 10% HIT WILL WIPE OUT ALL OF CHINA’S RESERVES/MALAYSIA AND SOUTH AFRICA ALSO IN DEEP TROUBLE WITH MEGA TWIN DEFICITS Good evening Ladies and Gentlemen: Here are the following closes for gold and silver today: Gold: $1117.30 down $1.90 (comex closing time) Silver $14.98 up 10 cents. In the access market 5:15 pm Gold $1132.00 Silver: $15.14 Before heading into my commentary, I would like to emphasize tonight that the results of the FOMC meeting today shows that the Fed has no idea what to do and they are in a fog just like all the other bankers. Stay with us and we will guide you through the upcoming financial collapse. First, here is an outline of what will be discussed tonight: At the gold comex today we had a poor delivery day, registering 0 notices for nil ounces Silver saw 1 notice for 5,000 oz. Several months ago the comex had 303 tonnes of total gold. Today, the total inventory rests at 213.93 tonnes for a loss of 89 tonnes over that period. In silver, the open interest fell by 3,619 contracts despite the fact that silver was up in price by 56 cents yesterday. Again, our banker friends tried to use the opportunity to cover as many silver shorts. They must be really frightened as to what might happen in a default situation. The total silver OI now rests at 154,388 contracts In ounces, the OI is still represented by .772 billion oz or 110% of annual global silver production (ex Russia ex China). In silver we had 1 notice served upon for 5,000 oz. In gold, the total comex gold OI rose to 414,289 for a gain of 956 contracts. We had 0 notices filed for nil oz today. We had no changes in tonnage at the GLD, thus the inventory rests tonight at 678.18 tonnes. The appetite for gold coming from China is depleting not only gold from the LBMA and GLD but also the comex is bleeding gold. It sure looks like 670 tonnes will be the rock bottom inventory in GLD gold. It looks to me that China has taken the last amounts of physical gold from the GLD. I guess the only place left for China to receive physical gold will be the FRBNY and the comex. In silver, we had no change in silver inventory at the SLV/Inventory rests at 320.915 million oz. We have a few important stories to bring to your attention today… 1. Today, we had the open interest in silver fall by 3619 contracts down to 154,388 despite the fact that silver was up by 56 cents in price with respect to yesterday’s trading. The total OI for gold rose by 956 contracts to 414,289 contracts, as gold was up $16.40 yesterday. (report Harvey) 2.Gold trading overnight, Goldcore (/Mark OByrne) 3. China opens for trading 9:30 pm est Wednesday morning/Thursday morning 9:30 Shanghai time (zero hedge) 4.Two separate commentaries on the calculation of how much USA dollars/treasuries have left China. It seems that in the last 2 1/2 months 308 billion USA has left (zerohedge/2 commentaries) 5. Kyle Bass talks about the risks to the global economy with respect to China, Malaysia and South Africa. (Kyle Bass/Octafinance) 6 More on the refugee crisis (zero hedge) 7. USA stories/Trading of equities NY a) Jobless claims remain at 42 year lows (BLS) b) Philly manufacturing Index plummets into negative territory totally missing analysts expectations of a gain (Philly Mfg Index/zero hedge) c) BLS, on its annual revision removes 208,000 jobs (and 255,000 private jobs) from their figures. It means that in actually we had total misses on each and every month (BLS/zerohedge) d) Jefferies reports negative fixed income and thus provides a harbinger of terrible earnings for our banks next month (Jefferies/zero hedge) e) FOMC results: no hike and the Fed has no idea what it is doing; 5 commentaries /very important to read all of them!! (zero hedge) 8. Physical stories i) Ronan Manly on the new faulty gold fix ii) Koos jansen on backwardation inside the LBMA and comex iii)Why you should own silver/Profit Confidential/John Whitefoot and well as other commentaries… Let us head over and see the comex results for today. The total gold comex open interest rose from 413,333 up to 414,289 for a gain of 956 contracts as gold was up $16.40 with respect to yesterday’s trading. For the past two years, we have strangely witnessed two interesting developments with respect to the gold open interest: 1) total gold comex collapse in OI as we enter an active delivery month, and 2) a continual drop in the amount of gold standing in an active month, and today the latter continued with its decline as gold ounces standing rose. We now enter the delivery month of September and here the OI fell by 19 contracts down to 91 . We had 4 notices filed yesterday so we lost 15 contracts or 1500 additional oz will not stand for delivery in this non active month of September. The next active delivery month is October and here the OI fell by 1445 contracts down to 20,844. The big December contract saw it’s OI rise by 1737 contracts from 282,256 up to 283,993. The estimated volume on today (which is just comex sales during regular business hours of 8:20 until 1:30 pm est) was estimated at 105,497 which is poor. The confirmed volume yesterday (which includes the volume during regular business hours + access market sales the previous day was poor at 139,220 contracts. Today we had 0 notices filed for nil oz. Continue Reading>>>