Wednesday, June 19, 2019

Fort Knox: “Glad Gold Is Safe!”

by Gary Christenson , Deviant Investor:

Secretary of the Treasury Steven Mnuchin visited Fort Knox on August 21. He tweeted “Glad gold is safe!” He told an audience in Louisville, “I assume the gold is still there.”

The Fort Knox Gold was last audited in the 1950s. Secretary Mnuchin’s statements were not helpful. Questions:

  1. The gold is safe, but where is it? Has most or all Fort Knox gold been shipped to Asia?
  2. How much gold is safe? A few bars? Hundreds of bars in a locked and dimly lit room visible only through a small window? Was it gold or gold plated tungsten?
  3. Does his assurance reduce suspicions of “missing gold” or encourage those speculations?
  4. To whom does it matter if the gold is safe? Total value at current prices for the Fort Knox gold supposedly vaulted is about $200 billion. The annual U.S. government deficit is several times that amount. The official national debt is 100 times larger. Yes, it is important if the gold is vaulted, as claimed, or missing. The truth should be reported.
  5. Will the truth be more unsettling than the suspicions of “missing gold?”
  6. When will an independent and comprehensive audit be conducted?
  7. Assuming a “cover-up” exists, what information besides “missing gold” has been concealed?

*******

From an article posted April 5, 2016:

Fort Knox Paradox

 

Officially the Fort Knox Bullion Depository contains 147.3 million ounces of gold. However, the last audit was performed over 60 years ago. According to reliable sources “audits” since then have been incomplete and inadequate.

Second Thoughts on US Gold Reserve Audits

Hiding the Elephant: Fort Knox’s Vanishing Act

Doubts about America’s Gold Holdings

Question: If the Bullion Depository contains over 147 million ounces of gold, why not audit it, prove the existence of the gold, and eliminate speculation? The US government spends over $70 billion on “food stamps” every year and nearly one $ Trillion per year on “defense,” so cost is not the issue.

Read More @ https://deviantinvestor.com

Another Potential Game Changer for Gold Supply: Chinese Oil Imports Convertible to Gold

by Jeff Clark, GoldSilver.com:

There are clear supply pressures coming to the gold market, so the last thing it needed was a new source of demand. But that’s exactly what it’s about to get, and as you’ll see, it could potentially push supply into a strained predicament. If this new development catches on it could lead to some fireworks in the gold market.

This source of demand comes from China’s announcement that oil exporters to China will accept yuan as payment. This is normally done in dollars (hence known as the petrodollar system). The yuan is not well established internationally yet, so as an incentive, China will offer its exporters the option to convert their yuan into gold. This will essentially result in a new source of gold demand, one not currently present in the market.

So how much gold are we talking about? Let’s run the numbers…

China’s imports in 2017 have averaged 8.55 million barrels of oil per day. This is already 14{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} more than last year, and has made them the world’s largest crude oil importer. Every report I’ve read says imports will continue to grow by double digits. A launch date for the program hasn’t been finalized, but let’s assume 9 million barrels per day starting next year.

The one-year forecast for a barrel of crude oil is $60 (it’s $59 as I write). That equates to $540,000,000 per day. At a $1,300 gold price, that means 415,384.6 ounces of gold per day could potentially be converted. That’s a whopping 151,615,384 ounces per year.

Not all of that would be converted, of course. But consider that many of the countries that export oil to China aren’t exactly friends of the US, and some are outright enemies, so the conversion rate would probably be greater than if it were all coming from Canada or Norway, or countries that already have a lot of gold. Further, conversions would almost certainly rise in a crisis, especially if Mike is right about the coming monetary shift.

Here’s what various amounts of gold conversions would look like, compared to total annual gold supply.

The amount of gold demand from yuan conversions could stun the gold market.

When you consider that most new gold supply is already gobbled up each year, and that global supply is virtually guaranteed to fall, it’s easy to see that even a minor amount of conversions, like 10{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}, would be problematic. And anything above that just isn’t feasible, and would, by itself, cause a spike in the gold price.

Where’s this gold going to come from? Some would presumably come from China itself, but they already consume all their own domestic production. Reportedly the bulk of it will be sourced from the bullion banks in London. If that’s how it plays out, we’d essentially watch gold be shipped from London to countries like Russia, Iran, and Saudi Arabia. In other words, more West to East gold transfers.

The net effect of all this will be greater pressure on gold supply, and greater pressure on the gold price. It could also have knock-on effects with the US dollar and even the yuan. If the yuan falls in value, for example, gold conversions would likely increase.

The net effect on existing gold owners, though, will be positive and exciting. As conversions begin and supply is taken off market, the price will respond and push higher. And if the amount of conversions makes front-page headlines, look out above. Keep in mind that this catalyst is on top of all the other catalysts poised to explode.

Read More @ GoldSilver.com

BOOM! NFL Ticket Sales Down 18{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} in Week Since Mass Anti-Military Anthem Protests

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by Jim Hoft, The Gateway Pundit:

This had to hurt.

NFL ticket sales down 18{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} down this week.

Last Sunday over 200 NFL players knelt during the US national anthem on Gold Star Mothers Day.

StubHub announced a 10{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} discount in NFL tickets this week.

And now this…
NFL ticket sales are down 18{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} compared to last year at this time.
The Washington Examiner reported:

The National Football League is feeling the impact of the “Trump Effect.”

Ticket sales since he called on team owners to fire players who take a knee to protest the National Anthem have cratered.

The online ticket reseller TickPick told Secrets that sales have dropped 17.9 percent, far more than the usual Week Three fall.

From TickPick:

  • 17.9 percent decrease in NFL orders this week compared to the previous week.
  • Last year the drop was 10.8 percent in orders on Monday & Tuesday following Week Three games.

“We have seen a massive decrease in NFL ticket purchases this past week in comparison to years past. Week 3 seems to usually have less ticket orders than week 2, but this year ticket purchases are down more than 7 percent from this time last year,” said TickPick’s Jack Slingland.

Several Chargers players torched their shirts and jackets this week.

Read More @ TheGatewayPundit.com

Martin Armstrong – Stock Market to Double

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by Kerry Lutz, Financial Survival Network:

Martin Armstrong joined us today for a review of the global economic landscape. Hurricanes aren’t just in the Atlantic, but all over the world’s economies. The rush into the stock markets continues and will keep on going. Faith in governments and socialism keep going down and down. The democratic party is in a multi-generational bear market with no end in sight. Finally, the stock market is on course to double from it’s present level. It’s the only game in town. Bitcoin will be prohibited by governments. Eventually all countries will go electronic currency. The dollar is poised to remain the reserve currency until it rises too high, which will require a world-wide meeting to remedy.

Click HERE to listen.

Read More @ FinancialSurvivalNetwork.com

Social destruction by the abuse of money

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by Alasdair Macleod, GoldMoney:

In Britain, the top 1{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of earners pay over a quarter of all income tax collected, and while super-rich British residents perhaps don’t have the tax breaks the Macklowes enjoy, the bulk of the burden falls on lawyers, bankers, company executives and owners of successful private enterprises. And it should, say the collectivists….

One of the juicier stories doing the rounds in New York society is the Macklowe divorce. Harry, the husband, kept a French mistress for two years before seeking a divorce from his wife of 58 years. So far, this is a run-of-the-mill marital split. But what made it the subject of gossip is the extraordinary lifestyle of the Macklowes, the mud being slung, and the expectations of the wronged 79-year old wife, seeking a billion or so to see out her remaining days.

They say hell hath no fury, and all that. Here is one of New York’s richest couples, washing their laundry in public, and it emerges that Harry has not paid tax since 1983. Harry’s lawyer bluntly stated in court that “people in real estate don’t pay taxes”. It echoes Leona Hemsley’s infamous quote that emerged at her trial thirty years ago, when the Queen of Mean said “We don’t pay taxes, only little people pay taxes.”

This still surprises many of us little people, but we must believe a top New York lawyer when he makes a statement in a court of law. The source of immense personal wealth in cities like New York is often from property development, and if this is a tax-free activity, it makes a mockery of the state redistributing money from the haves to the have-nots.

And sociologists wonder why there is so much discontent aimed at the establishment! This discontent finds expression in doubled-down socialism – morality-driven socialism rather than the Marxian version perhaps. It seems obvious to the masses that government is failing to collect taxes through not trying hard enough. But all that the Macklowe divorce evidence proves is one of life’s truisms: the rich are very good at finding legal ways not to pay tax.

Wealth-destruction and the state

Government welfare promises are never funded by the very rich. Anyway, there are too few of them to make any difference to the enormous scale of statist demands for tax revenue. But there is nonetheless an enormous burden imposed upon the successful wealth creators. In Britain, the top 1{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of earners pay over a quarter of all income tax collected, and while super-rich British residents perhaps don’t have the tax breaks the Macklowes enjoy, the bulk of the burden falls on lawyers, bankers, company executives and owners of successful private enterprises. And it should, say the collectivists.

But when we look at the next layer down, those that earn more than the average wage, we see the state’s taxes have caused the worst economic distortions. We are referring to taxes on the wages of skilled blue-collar workers, and upwards. These are ordinary people with aspirations to do better for themselves and their families. These are the people who pay most of the other 75{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of the income tax and sales taxes collected by the state. These are the people, who, if allowed to keep their earnings, would be incentivised to become more productive for the benefit of everyone. These are the people who would reduce the welfare burden on the state, given the choice, by being able to save for private healthcare and to pay for the education of their children.

Instead, they are forced to subsidise a far costlier state system. I was recently told by a credible source that the only form of surgery in the US that has fallen in price in recent years is the one not covered by highly regulated Medicare and Medicaid: plastic surgery. Some time ago I did a rough calculation of the cost of educating a child of primary school age in Britain, and found that the “free” state system costs about twice as much as educating a child privately. Keeping a male young offender locked up in Britain costs £85,975 per annum all-in, while it costs less than £40,000 to educate a child of the same age at Eton. And it’s not as if British borstals are bristling with expensive upper-class facilities, either.

I can think of very few parents who prefer to put their children through the state system rather than private education. Even left-wing Labour politicians in the UK send their children to private schools. Trade unions offer private healthcare to their own staff in preference to facing the queues at the National Health Service, while publicly damning private healthcare for taking resources away from the state system.

Money diverted in taxes from productive use to bolster state spending is an enormous unseen drag on the economy. It destroys personal wealth, and produces inferior or unwanted services in return. And while we can debate the benefits to the lowest earners in society and the long-term unemployed, we should not ignore the wealth that might otherwise have been accumulated, upon which ultimately the standard of living of even the poorest in society depends.

Lifestyles are now based on debt

State intervention has become so extensive and costly, that those with ambitions to better themselves and improve the conditions for their families have long been unable to do so out of heavily-taxed earnings. Instead, they resort to borrowing. A typical young couple buying a newly-built home on a housing estate, parking two cars in the driveway, well-dressed, and with children who no longer walk to school but are driven by a parent, represent the aspirations of your country’s future.

But how much of this visible wealth does the model couple own? The mortgage deeds are with the mortgage lender, representing most of the home’s value. The cars are not theirs until the end of the loan agreement, and then they must relinquish them, buy them, or trade them in for another car on finance. And the credit cards are expensive borrowing which for many people are a necessary financial bridge to the next payday. It is a sad fact that most salaried people have no financial buffer at all, and if their next pay-check fails to arrive, they risk losing their credit rating and possibly their home as well.

Read More @ GoldMoney.com

Keiser Report: Time for #CrashJPMBuyBitcoin? (E1129)

from RT:

In the second half, Max interviews Roger Ver, aka ‘Bitcoin Jesus,’ about the scaling debate, Bitcoin Cash, China’s crackdown on Initial Coin Offerings and the exchanges that offered access to them and Jamie Dimon’s ‘bitcoin is a fraud’ statements.

This Small Move Could Send a Tidal Wave of Money into Gold Stocks

by Marin Katusa, Katusa Research:

At 3,950 feet wide and 176 feet tall, the legendary Niagara Falls is the most powerful waterfall in North America.

Straddling the border between the U.S. and Canada, Niagara sees approximately 3,160 tons of water go over its edge it every second. It’s said The Great Lakes contain 20{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of the world’s freshwater. Most of it passes over Niagara Falls as it drains into the Atlantic Ocean via the St. Lawrence River.

Many of us can remember a trip to Niagara Falls and recall hearing the water’s power as it roared from below.

Now, think if all that water tried to go over the falls through a single fire hose. If you had a miracle hose that wouldn’t bust, the pressure would create a water jet that goes for miles.

Yes, it’s a ridiculous scenario. But it’s a useful analogy for explaining how the gold mining sector would be affected if some of the world’s largest investment funds decided to make even a small increase in their allocation to physical gold and gold stocks. It would be like trying to drain Niagara Falls with a fire hose. Just a small percentage increase in allocation towards gold and gold stocks among global fund managers would make gold stocks double… and then double again… and double again.

Below, we’ll look at the numbers. But first, let’s review who really moves stock and bond prices…

When it comes to the investment markets, a small investor has no effect on asset prices. Even the buying and selling of a wealthy individual with $200 million has no effect on stock and bond markets. The guy with $200 million is a mouse when it comes to the elephants.

By elephants, I mean large pension funds, large hedge funds, large insurance funds, and large sovereign wealth funds. These funds invest the money for tens of thousands of people. They control not just hundreds of millions… but often hundreds of billions. For example, oil-rich Norway’s $1 trillion sovereign wealth fund controls 5,000 times more money than the rich guy with $200 million. Elephants like Norway’s fund managers are the people that move markets and create long-term price trends.

Now realize that the managers of these mega funds are just regular people. They are as likely to fall victim to groupthink as anyone. They don’t like to stray far from the herd. They tend to make the same decisions at the same time.

When a group of large investment funds decides to buy into a market, they can put well over $100 billion to work. So, elephants typically stick to very large, very liquid markets like large-cap U.S. stocks and corporate bonds.

However, some elephants occasionally stray from the herd. They buy into less liquid markets. For example, some of them will buy gold stocks and physical gold. If concerns over the safety of the global monetary system increase (as they did in 2008), more than a few elephants will want to buy gold and gold stocks for both protection and profit potential.

That elephant money will flow into a relatively tiny sector. The current market value of all major publicly-traded gold companies is around $330 billion. This might sound large, but it’s actually tiny in global finance terms.

The entire gold mining industry is smaller than just Facebook ($500 billion market cap) or Google ($650 billion market cap). The chart below shows this comparison, along with Apple and U.S. oil and gas industry for good measure.

To look at it from another angle, consider the $20 billion market cap of the world’s largest gold mining company, Newmont. Newmont is a giant that shapes the industry. It does some of the biggest deals. It has the resources to hire the industry’s best people. It produced over 5 million ounces of gold in 2016. That’s a tremendous amount of gold.

Yet, a $20 billion market cap won’t even get you a spot on the top 20 North American oil and gas companies. Newmont is smaller than 266 companies in the benchmark S&P 500.

If just 10 out of the hundreds of money managers around the world with more than $50 billion to invest were to each place just 1{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of their portfolios into Newmont, they would buy 25{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of Newmont. That very small ripple in the ocean of large fund management would produce a buying tsunami that lands on the shores of the gold mining industry.

You might be thinking, “Sounds good in theory, Marin, but this wouldn’t happen in real life.”

If you’re thinking that, you’re dead wrong. This line of thinking isn’t theoretical. Two situations in recent history show how small sectors can stage extraordinary moves when even a small percentage of the world’s capital flows into it.

***In 2003, I spent a lot of time and energy researching the uranium market. I became convinced the industry would face a supply/demand crunch which would send uranium into a major bull market I took a huge position in uranium stocks.

At the time, the uranium market was much smaller than the gold market is today. The world’s largest miner, Cameco, had a market cap of just $2 billion.

My thinking turned out to be right. Uranium entered a bull market and attracted a lot of investor interest. But because the industry was so small, investment capital could only flow into a handful of legitimate uranium miners. During the uranium bull market of 2003 – 2007, Cameco climbed 1,300{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}. Pitchstone Energy climbed 700{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}. Paladin Uranium climbed over 1,000{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}.

Read More @ KatusaResearch.com

Surviving The Coming Bond Crash

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from RonPaulLibertyReport:

You know it’s coming. US and global debt skyrockets. The financial system on life support. Investment advisor Michael Pento has seen it coming for years and he joins today’s Liberty Report to tell us what to expect and what we can do about it…

This is what $100 buys you in Venezuela

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by Simon Black, Sovereign Man:

The gunfire on the streets near my hotel started around 9pm last night.

The sound is unmistakable, especially at night on an otherwise quiet city street.

I had recently returned to the hotel after a few evening meetings. And coming back after dark it was as if they had rolled the sidewalks up — restaurants with no patrons, bars and clubs that were totally empty.

There was an incredibly striking woman I remember, standing in front of her restaurant playing hostess to absolutely nobody.

And with few people on the streets, it felt like some sort of zombie apocalypse.

Amazingly enough this country used to be THE wealthiest in the region. And not too long ago.

Throughout the 1950s, 60s, and 70s, Venezuela enjoyed robust growth. Low inflation. Substantial foreign investment. High wages. It was the envy of Latin America.

It was all based on one industry: oil. Venezuela has effectively been a one-trick pony for decades.

And when oil prices were strong, the government was swimming in cash. Even as recently as 2007, the Venezuelan government’s oil revenue was so high that they PAID OFF ALL FOREIGN DEBT.

Think about that: only ten years ago Venezuela had ZERO foreign debt.

But at the same time the government here had a long history of excessive spending. Social programs. Military. Fuel and electricity subsidies. Whatever it took to remain in power.

The government spent so much money that, even when oil prices exceeded $100 per barrel between 2011 and 2013, they STILL couldn’t break even.

Then oil prices collapsed. By early 2016, a barrel of oil was fetching less than $30.

Venezuela’s public finances were in shambles… so the government resorted to the same old tactics that nearly every bankrupt government has relied on throughout history.

For one, they started spending their foreign reserves– essentially burning through the public savings account.

Today Venezuela has its lowest level of foreign reserves in decades, less than $10 billion, compared to $42 billion in December 2008.

They’ve also sold off a huge portion of their gold reserves.

In late 2015 Venezuela held 373 metric tons of gold. Today that’s down to 188 metric tons, a nearly 50{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} drop in less than two years.

More importantly, though, the government has resorted to printing incomprehensible quantities of paper currency and vastly expanding the central bank balance sheet.

This chart is really amazing to see– the Venezuelan central bank’s balance sheet literally TRIPLED in a SINGLE MONTH between April and May of this year.

They keep printing more and more money, to the point that the currency has become totally worthless.

I remember coming here a few years ago when the black-market rate was around 8 bolivars per US dollar.

On my next trip, it took 100 bolivars to buy a dollar in the black market. And the rate kept dropping with each trip.

This time I exchanged dollars at around 27,000 per US dollar. Meanwhile the ‘official’ rate is a laughable 10:1. It’s a nearly 3000x difference.

So, depending on which exchange rate you use, Venezuela is either absurdly expensive or absurdly cheap.

A ride from the airport was about 80,000 bolivars. At official rates that’s EIGHT THOUSAND DOLLARS. For a taxi ride.

But at black market rates it’s less than three bucks. Quite a difference.

Last night I exchanged $100 and received this brick of cash in exchange.

Needless to say this monetary insanity makes life extremely difficult.

Anything imported is prohibitively expensive. And with the economy collapsing, domestic production is also grinding to a halt.

There’s very little economic activity. People are sitting in their homes trying to survive. Medicine is scarce. And even staples like food are running out… which is totally nuts.

Venezuela is a vast country with rich, fertile soil and abundant sources of water. There is absolutely no reason why there should be food shortages here.

Chalk up another victory for socialism and central planning.

In their desperation, people are turning to crime, prostitution… anything they have to do to make ends meet. I routinely see people picking through garbage cans eating scraps, anything they can find.

Read More @ SovereignMan.com

China NEEDS $13,000 GOLD PRICE To Implement Oil-For-Gold Contract

by Bill Maher, via SilverDoctors:

If China launches the highly anticipated oil-for-gold contract by the end of this year, those $10,000 forecasts for gold may be off by some 30{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}. Here’s how China could launch the new oil contract in just a few short months from now…

This Could Send Gold Much Higher Than $10,000

Jim Rickards is on record forecasting $10,000 gold.

But is China about to provide the catalyst to send gold even higher? And by how much?

Today, we fare forth in the spirit of speculation… follow facts down strange roads… and arrive at a destination stranger still…

China — the world’s largest oil importer — struck lightning through international markets recently.

According to the Nikkei Asian Review, China has plans to buy imported oil with yuan instead of dollars.

Exporters could then exchange that yuan for gold on the Shanghai Gold Exchange.

Not only would the plan bypass the dollar entirely… it would restore gold’s role in international commerce for the first time since 1971, when Nixon hammered the last nail through Bretton Woods.

If the rumors hold true, China’s plan could enter effect by the end of this year.

Billionaire business magnate and sound money advocate Hugo Salinas Price ran China’s plan through his calculator.

It turned up a basic math problem that spells drastically higher gold prices — if the plan is to work.

Details to follow.

But first some background on oil and gold… a brief detour down Bretton Woods Lane…

Price:

By 1970, it was evident to those running the U.S. that it would very soon be necessary to import large quantities of oil from Saudi Arabia. Under the Bretton Woods Agreements of 1945, the immense quantities of dollars that would shortly flow to Saudi Arabia in payment of their oil would be claims upon U.S. gold, at the time quoted at $35 an ounce. Those claims would surely deplete the remaining gold held by the U.S. Treasury in short order.

Washington found itself on the sharp hooks of a dilemma…

Dramatically raise the price of gold to limit redemptions — and devalue the dollar in the process — or repudiate its commitments under Bretton Woods.

Dishonor, that is… or dishonor.

It chose dishonor.

Price again:

To continue under the Bretton Woods monetary system would have meant that the U.S. would have been forced to raise the price of gold to an enormous figure in order to reduce the amount of gold payable to the Saudis to a tolerable level. But raising the dollar price of gold in that manner would have constituted a great devaluation of the dollar and collapsed its international prestige; that in turn would have ended the predominance of the U.S. as the No. 1 power in the world. The U.S. was not willing to accept that outcome. So Nixon “closed the gold window” on Aug. 15, 1971.

If China is willing to trade gold for oil under its latest plan, a similar dynamic enters play.

Consider:

China takes aboard some 8 million barrels of oil a day.

That’s 2.92 billion barrels per year — nearly 3 billion in all.

But China holds only a few thousand metric tons of gold (officially about 1,850. Some estimate the true figure much higher).

You see the problem, of course.

China rapidly depletes its gold reserves if too many oil exporters choose to exchange yuan for gold.

If the plan’s to be sustainable at all, gold must rise — drastically — in order to balance the vast amounts of oil it’s supporting.

As Price explains, “To balance the mass of oil received by China against a limited amount of available gold… it will be necessary for gold to skyrocket upward in yuan terms and, necessarily, in dollar terms as well.”

Price crunched the numbers…

One ounce of gold (about $1,300) currently fetches 26 barrels of oil (about $50 per).

One barrel of oil is worth 1.196 grams of gold.

Price calls this ratio “an unsustainably low purchasing power of gold vis-a-vis oil.”

Only a drastically higher gold price would render the plan plausible.

How far would gold have to climb before the relationship was stable in Price’s estimate?

Ten times. Thus, Price arrives at a reasonable gold price:

$13,000 per ounce.

Price:

At $13,000 per gold ounce, one barrel of oil, at $50, will be bought with 0.1196 grams of gold; perhaps we may see $13,000 per oz gold in the not distant future.

Read More @ SilverDoctors.com

GOLD RISES BY $1.55 TO $1286.00/SILVER UP 3 CENTS

by Harvey Organ, Harvey Organ Blog:

UBS AGREES WITH US THAT THE USA WILL NOT IMPLEMENT ANY MEANINGFUL TAX REFORM/CHINA ORDERS ALL NORTHERN KOREAN COMPANIES AND PERSONNEL OUT OF THE COUNTRY/GERMANY WITHDRAWS FROM INCIRLIK

GOLD: $1286.00 UP $1.55

Silver: $16.82UP 3 CENT(S)

Closing access prices:

Gold $1287.50

silver: $16.87

SHANGHAI GOLD FIX:  FIRST FIX  10 15 PM EST  (2:15 SHANGHAI LOCAL TIME)

SECOND FIX:  2:15 AM EST  (6:15 SHANGHAI LOCAL TIME)

SHANGHAI FIRST GOLD FIX: $1293.84 DOLLARS PER OZ

NY PRICE OF GOLD AT EXACT SAME TIME:  $1283.30

PREMIUM FIRST FIX:  $9.54 (premiums getting larger)

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SECOND SHANGHAI GOLD FIX: $1291.23

NY GOLD PRICE AT THE EXACT SAME TIME: $1279.90

Premium of Shanghai 2nd fix/NY:$11.32 (PREMIUMS GETTING LARGER)  

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LONDON FIRST GOLD FIX:  5:30 am est  $1284.30

NY PRICING AT THE EXACT SAME TIME: $1282.30 ???

LONDON SECOND GOLD FIX  10 AM: $1283.35

NY PRICING AT THE EXACT SAME TIME. 1284.00???

For comex gold:

SEPTEMBER/

NOTICES FILINGS TODAY FOR SEPT CONTRACT MONTH: 484 NOTICE(S) FOR48400OZ.

TOTAL NOTICES SO FAR: 577 FOR 57700 OZ  (1.7947 TONNES)

For silver:

SEPTEMBER

 

 37 NOTICES FILED TODAY FOR

 

185,000  OZ/

Total number of notices filed so far this month: 6,575 for 32,875,000 oz

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end

Let us have a look at the data for today

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In silver, the total open interest FELL BY  1909 contracts from  186,997DOWN TO 184,997  WITH THE GOOD SIZED FALL IN PRICE THAT SILVER UNDERTOOK IN YESTERDAY’S TRADING (DOWN 9 CENTS ). AGAIN TODAY, IT SURE LOOKS LIKE WE GOTA SMALL AMOUNT OF BANKER SILVER SHORT COVERING AT THIS WEEK IS OPTIONS EXPIRY ON THE LONDON/OTC MARKET AND WE ALWAYSON THE RECIPROCAL END OF RAIDS

RESULT: A SMALL FALL IN OI COMEX  WITH THE9 CENT PRICE FALL. IT LOOKS LIKE WE HAD A SMALL AMOUNT OF BANKER SHORTS COVERING.  THE BANKERS AGAIN ORCHESTRATE ANOTHER RAID TODAY AND FAILED AGAIN. 

 In ounces, the OI is still represented by just UNDER 1 BILLION oz i.e.  0.924 BILLION TO BE EXACT or 132{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528} of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT MAY MONTH/ THEY FILED: 78 NOTICE(S) FOR 390,000OZ OF SILVER

In gold, the open interest FELL BY A LARGE 9752 CONTRACTS WITH THE FALLin price of gold ($13.65 DROP) WITH YESTERDAY’S COMEX TRADING.  The new OI for the gold complex rests at 539,885.  WE ARE NOW IN THE MIDDLE OFOPTIONS EXPIRY WEEKSO IT IS NOT A SURPRISE THAT THE CROOKS CONTINUED WITH THEIR RAIDING. THERE IS NO DOUBT THAT THE CONTINUAL RAIDSHAS THE OBJECT OF INTEREST BEING SILVER AND NOT GOLD AS WE STILL WITNESS STUBBORN LONGS REFUSE TO BUDGE FROM THEIR SILVER TREE.

 

Result: A LARGE SIZED DECREASE IN OI WITH THE GOOD SIZEDFALL IN PRICE IN GOLD ($13.65).

we had: 484 notice(s) filed upon for 48400 oz of gold.

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With respect to our two criminal funds, the GLD and the SLV:

GLD: WOW!! 

Tonight , NO CHANGESin gold inventory at the GLD:

Inventory rests tonight: 864.65 tonnes.

SLV

Today: a no changes in inventory:

INVENTORY RESTS AT 326.757 MILLION OZ

 

end

.

First, here is an outline of what will be discussed tonight:

1. Today, we had the open interest in silver FELL BY1909 contracts from 186,906DOWN TO 184,997 (AND now A LITTLE FURTHER FROM THE NEW COMEX RECORD SET ON FRIDAY/APRIL 21/2017 AT 234,787) . AGAIN TODAY, IT  SEEMS THAT A TINY FRACTION OF OUR BANKER SHORTS COVERED.  THEY NEED TO COVER A MUCH HIGHER NUMBER WHEN RAIDS ARE ORCHESTRATED.  SO THEY TRIED AGAIN TODAY.

RESULT:  A SMALL SIZED DROP IN SILVER OI  AT THE COMEX WITH THE GOOD SIZED RISE IN PRICE OF 9 CENTS IN YESTERDAY’S TRADING. ANOTHER ATTEMPTED RAID ORCHESTRATED BY THE CROOKS FOR TODAY SEEMS TO HAVE FAILED IN SILVER.

(report Harvey)

.

2.a) The Shanghai and London gold fix report

(Harvey)

 

2 b) Gold/silver trading overnight Europe, Goldcore

(Mark O’Byrne/zerohedge

and in NY:  Bloomberg

3. ASIAN AFFAIRS

i)Late WEDNESDAY night/THURSDAY morning: Shanghai closed DOWN 5.60 POINTS OR 0.17{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}   / /Hang Sang CLOSED DOWN 220.83 POINTS OR 0.80{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}/ The Nikkei closed UP 96.06 POINTS OR 0.47{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}/Australia’s all ordinaires CLOSED DOWN 0.11{5f621241b214ad2ec6cd4f506191303eb2f57539ef282de243c880c2b328a528}/Chinese yuan (ONSHORE) closed WELL DOWN at 6.6640/Oil UP to 52.65 dollars per barrel for WTI and 58.28 for Brent. Stocks in Europe OPENED GREEN/MIXED. Offshore yuan trades  6.6634 yuan to the dollar vs 6.6640 for onshore yuan. NOW THE OFFSHORE MOVED A LITTLE STRONGER TO THE ONSHORE YUAN/ ONSHORE YUAN HUGELY WEAKER (TO THE DOLLAR)  AND THE OFFSHORE YUAN IS WEAKER TO THE DOLLAR AND THIS IS COUPLED WITH THE WEAKER  DOLLAR. CHINA IS HAPPY TODAY

 

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