Gold and What Mov...
Follow
78.9K views | +0 today
Gold and What Moves it.
Tracking all things that relate to and affect the price of gold.
Curated by Hal
Your new post is loading...
Your new post is loading...
Scooped by Hal
Scoop.it!

oftwominds-Charles Hugh Smith: Fed Has No Hammer, Uses Handsaw and Chisel to Pound Nails

oftwominds-Charles Hugh Smith: Fed Has No Hammer, Uses Handsaw and Chisel to Pound Nails | Gold and What Moves it. | Scoop.it

from Charles Hugh Smith:

 

"The next time the Fed unleashes quantitative easing, maybe we'll finally wake up to the fact the Fed is not just powerless, it is actively destructive.

 

"The Fed is promising once again to pound nails with the only tools in its toolbox, a saw and a chisel. The "nails" the Fed is trying to pound down are unemployment and deflation. Needless to say, whacking these big nails with a handsaw and a chisel is completely useless: they can't get the job done.

 

"The Fed claims all sorts of supernatural powers to sink nails at will--"unconventional monetary policy," quantitative easing, money dropped from helicopters and so on. But all it really has are two tools which have no positive effect on unemployment or the real economy. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

Propping Up The Gold Price?

Propping Up The Gold Price? | Gold and What Moves it. | Scoop.it

Interesting blog I stumbled upon:

 

"... demand for gold reflects distrust in finance, distrust in the financial establishment, distrust in banks, distrust in regulators, distrust in government and distrust in the financial media. And it is that distrust — not (by any stretch of the imagination) central bank interventionism — that is the force moving demand for gold.

 

"The distrust is not going anywhere because the system is still rotten. We all know — even Business Insider readers know deep down, I think — that there is something exceedingly rotten at the heart of the global financial system. We don’t know quite how rotten, how deep the rabbit hole goes, who will be implicated, or how fast. But with every LIBOR-rigging scandal (which the Fed, of course, was aware of), every raided segregated account, every devalued pension fund, every failed speculative “hedge”, every Facebook or Zynga pump-and-dump, we get closer to the truth.

 

"There will be no bear market for physical gold until trust in the financial system and regulators is fixed, until markets trade fundamentals instead of the possibility of the NEW QE, until governments represent the interests of their people instead of the interests of tiny financial elites."

more...
No comment yet.
Scooped by Hal
Scoop.it!

HSBC Faces $1 Billion 'Money Laundering' Fine

HSBC Faces $1 Billion 'Money Laundering' Fine | Gold and What Moves it. | Scoop.it

by Olver Tree:

 

"HSBC [London: HSBA] became the latest banking giant mired in scandal after it emerged Thursday that the British lender could be fined up to $1 billion for failing to implement sufficient money laundering controls.

 

"According to an internal memo, HSBC revealed that it will "acknowledge and apologize" to a U.S. Senate committee next week for failing to spot money laundering activity that could have been used to finance terrorism and organized crime.

 

"The latest banking scandal follows the record fines slapped on fellow British bank Barclays [London:BARC] for its part in fixing the Libor-rate.

 

"As reported by Dow Jones, the internal memo says HSBC will acknowledge that it failed to implement the appropriate systems and controls necessary to prevent the possible financing of terrorism and other criminal activities through money laundering from 2004 to 2010. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

US Attorneys General Jump On The Lieborgate Bandwagon; 900,000+ Lawsuits To Follow, And What Happens Next? | ZeroHedge

US Attorneys General Jump On The Lieborgate Bandwagon; 900,000+ Lawsuits To Follow, And What Happens Next? | ZeroHedge | Gold and What Moves it. | Scoop.it

posted on http://www.zerohedge.com by Tyler Durden:

 

"The second Barclays announced its $450 million Libor settlement, it was all over - the lawyers smelled not only blood, but what may be the biggest plaintiff feeding frenzy of all time. Which is why it was only a matter of time: "State attorneys general are jumping into the widening scandal over whether banks tried to manipulate benchmark international lending rates, a move that could open a new front against the top global banks. A handful of state attorneys general said they are looking into whether they have jurisdiction over the banks, and are starting preliminary discussions to determine what kind of impact the conduct involving the Libor rate may have had in their states. ..."

 

more...
No comment yet.
Scooped by Hal
Scoop.it!

Rick Rule - We Are Near An Epic Collapse in Confidence

Rick Rule - We Are Near An Epic Collapse in Confidence | Gold and What Moves it. | Scoop.it

Rick Rule tells King World News::

 

“... One of the things that comes to my mind is that what has passed for quantitative easing and refinancing in this market, is, in effect, counterfeiting. We have a situation where one of the biggest buyers of government bonds is the government.

 

"In the United States, as an example, we took in between 40% and 45% of the federal budget last year by way of tax receipts. We took care of the other 55%+ of the budget by borrowing half of the deficit, and in the second instance by printing money which we used to retire government bonds. In other words we bought our own paper.

 

"I guess that’s fine as long as it works. ..." click through for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Fed disappointment sees gold, silver at 2 week lows - FAST NEWS - Mineweb.com Mineweb

Fed disappointment sees gold, silver at 2 week lows - FAST NEWS - Mineweb.com Mineweb | Gold and What Moves it. | Scoop.it

by Adrian Ash:

 

"... Credit Suisse and BMO Research yesterday joined the growing move to cut commodity-price forecasts for 2012 and beyond, with the Swiss investment predicted only "a modest recovery in the second half of the year" and the Canadian financial services firm lopping 10% off its broad prediction for raw material costs.

 

"The bear market [in mining equities] has intensified with a vengeance," says BMO Research, adding that late-2012 should see gold trade at $1600 per ounce rather than the previous forecast of $1700.

Even so, "The prevailing economic environment remains supportive for the gold price with the European sovereign debt crisis and wealth preservation demand playing on the upside, while weaker Indian jewelry demand weighs on the downside of the metal."

 

"Today in Kolkata, "There is a slight pick-up [in demand to buy gold ]," said one jewelry wholesaler to Reuters, "but this will taper off in a few days" unless local prices continue to ease from their recent record highs.

 

"The strong US Dollar makes local [gold] prices, such as in Indonesian Rupiah, not very attractive," agrees a Singapore bullion dealer, also quoted by the newswire. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

Hoard of ancient gold coins found at Israel crusader site

Hoard of ancient gold coins found at Israel crusader site | Gold and What Moves it. | Scoop.it

Got to love burried treasure:

 

HERZLIYA, ISRAEL (REUTERS) -

 

"A 1,000-year-old hoard of gold coins has been unearthed at a famous Crusader battleground where Christian and Muslim forces once fought for control of the Holy Land, Israeli archaeologists said on Wednesday.


"The treasure was dug up from the ruins of a castle in Arsuf, a strategic stronghold during the religious conflict waged in the 12th and 13th centuries.


"The 108 coins - one of the biggest collections of ancient coins discovered in Israel - were found hidden in a ceramic jug beneath a tile floor at the cliff-top coastal ruins, 15 km (9 miles) from Tel Aviv. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

The price of gold has been manipulated. This is more scandalous than Libor – Telegraph Blogs

The price of gold has been manipulated. This is more scandalous than Libor – Telegraph Blogs | Gold and What Moves it. | Scoop.it

By Thomas Pascoe 

 

"... The price of gold is traditionally a proxy for the value of money. A soaring bullion price is indicative of a lack of faith in fiat currency.
Our financial system is predicated on the notion that money stands as a proxy for the factors of production – capital, labour, land and enterprise.

 

"In short, the abundance of money in the economy should be related to the abundance of those factors. The harder we work, for instance, the more we create. There is more labour in the economy, therefore a rise in the money supply is legitimate in order to mirror this. There is nothing wrong with printing money per se so long as the printing reflects an expansion in the real economy.

 

"Twentieth and Twenty-First century economics appears to have done away with this. Money is now created ex nihilo to feed both the top and bottom ends of society.


"Money printing or Quantitative Easing is mainly of benefit to two parties. Firstly, the Government, which is able to borrow more and borrow cheaper than it otherwise would have done. This is because QE money is used to buy bonds, forcing down yields. ..."

 

hat tip to Ed Steer: http://www.caseyresearch.com/gsd/edition/telegraph-price-gold-has-been-manipulated-more-scandalous-libor ;

more...
No comment yet.
Scooped by Hal
Scoop.it!

The Chronology Of A Collapse: Santelli's Primer On The PFG Debacle | ZeroHedge

There remains some confusion about the timing of actions around the PFG Best disaster.

 

Go watch the video. 

 

Hat tip to http://twitter.com/JervisCapital ;

more...
No comment yet.
Scooped by Hal
Scoop.it!

WHO WAS PFGBEST’S AUDITOR? « The Burning Platform

Posted by Ann Barnhardt on TheBurningPlatform:

 

"When I said, “Get the hell out,” do you understand that I meant to GET. THE. HELL. OUT.?

 

"When I wrote in my Going Galt Letter that the problem was SYSTEMIC, do you now understand that I wasn’t just typing big, fancy words so that I could hear the soft pitter-pat of my keyboard?

 

"When I said over and over again in interview after interview that the so-called regulatory system overseeing the futures industry was no such thing, but rather an evil, despicable mafia, administered by politicking psychopaths on the take, and staffed by affirmative action hires to provide plausible deniability and scapegoats, WERE YOU NOT LISTENING?

 

"How did I see this coming? How could I NOT see this coming?

 

"PFGBest, which used to be the old Alaron Trading, has stolen at least $220 million of customer funds, which is fully HALF the entire customer asset base. The firm’s owner attempted suicide this morning in the parking lot outside of the corporate HQ in Iowa.

 

"While claiming to have over $200 million in bank accounts, it turned out that PFGBest only had $10 million at most. And they had been short NINETY-FIVE PERCENT of their seg funds for at least five months, and it may be closer to two years. The reportage on the timelines is very fuzzy. ..." click over for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold and silver bombed/More fallout from PGF [sic: PFG] disaster/Fed away of the Libor lie/

Gold and silver bombed/More fallout from PGF [sic: PFG] disaster/Fed away of the Libor lie/ | Gold and What Moves it. | Scoop.it

from Harvey Organ's Daily, a snippit:

 

"... I have also stated that Libor is manipulated constantly to keep gold from entering backwardation and for allowing gold/silver to be borrowed cheaply by our crooks.

 

"Fellow Canadian Rhody, one of the best out there on this issue stated this today:

 

"The drop in gold lease rates is ominous as this generally means the cartel leased a huge pile of gold they don't actually own and are about to dump it on London. I may be wrong and the big surge in leasing may be merely to meet delivery demands, but the pattern from the past is that this leads to a cartel attack on gold. That drop in lease rates is manufactured by dropping LIBOR over ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

San Bernardino seeks bankruptcy protection

San Bernardino seeks bankruptcy protection | Gold and What Moves it. | Scoop.it
San Bernardino on Tuesday became the third California city in less than a month to seek bankruptcy protection, with officials saying the financial situation had become so dire that it could not cover payroll through the summer.

 

By Phil Willon, Los Angeles Times

"San Bernardino on Tuesday became the third California city in less than a month to seek bankruptcy protection, with officials saying the financial situation had become so dire that it could not cover payroll through the summer.

 

"The unexpected vote came at the suggestion of the interim city manager, who said the city faces a $46-million deficit and depleted coffers.

 

"We have an immediate cash flow issue," Andrea Miller told the mayor and seven-member City Council.

 

"Mayor Patrick Morris called the decision, passed on a 4-2 vote, a "stain" on the city. But he said the only other option was "draconian cuts" to all city services, including the police and fire departments. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

Ed Steer on #Silver Shorts

Ed Steer on #Silver Shorts | Gold and What Moves it. | Scoop.it

Ed Steer writes:

 

"Four [4] U.S. Banks are net short 18,272 Comex silver contracts...an insignificant decline of 600 contracts from their June position. I'd bet serious coin that about 80% of this amount is held by JPMorgan...and 19.99% is held by HSBC USA. The other 0.01 percent is held by Citigroup and one other bank...but are immaterial, regardless.

 

"The 11 non-U.S. banks that hold Comex silver contracts are net long 904 contracts...a minor drop of about 300 contracts from the June BPR.

 

"The net Commercial short position in silver in last Friday's COT report was 17,354 Comex contracts. JPMorgan and HSBC hold over 100% of that amount in silver all by themselves. And as I pointed out in the previous paragraph, the 11 non-U.S. banks are actually net long the silver market.

 

"This is not rocket science, dear reader, as the silver price management scheme is obviously 100% 'Made in America'. And with 4 U.S. banks holding just about 50% of the Commercial net short position in gold, they are a powerful force to be reckoned with in gold as well...especially since they collude in this price fixing scheme. When I say "JPMorgan et al"...or 'da boyz'...that's who I'm referring to. Most of the 'et al's are not U.S. banks...but other Commercial traders that work together with JPMorgan.

 

"This is precisely the same way that the LIBOR scandal works/worked. I would guess that a lot of other markets work that was as well...and the dollar index and the New York equity markets would be two others that fall into that category.

 

"As GATA's Chris Powell said..."The are no markets anymore...only interventions. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

Computer Cowboys Wrestle with Volatile Commodities and Currencies | Gary Dorsch | Safehaven.com

Computer Cowboys Wrestle with Volatile Commodities and Currencies | Gary Dorsch | Safehaven.com | Gold and What Moves it. | Scoop.it

"For most of Wall Street's history, trading in equities was fairly straightforward: buyers and sellers gathered on exchange floors and haggled until they struck a deal. Computerized trading of stocks didn't arrive onto the Wall Street scene until the 1980's. Computer guided "Program trading," - defined by the NYSE as an order to buy or sell 15-stocks or more, valued at over $1-million total, was blamed for the "Black Monday" Crash of October 1987. Then, in 1998, the internet opened-up markets to anyone with a desktop computer, and a trading idea. Since then, computer trading programs have grown vastly more powerful and the algorithms that guide their trading vastly more sophisticated.


"As such, the average PC trader is no longer able to compete with Wall Street's computers. Powerful algorithms, called "Algos," in industry parlance, are executing millions of orders a second and scan dozens of public and private marketplaces simultaneously. Algorithms can spot trends in the global markets, evaluate and integrate the latest news releases, changing orders and strategies within milliseconds, before PC investors can blink.

 

As the use of algorithms moves from hedge funds and Wall Street's trading desks to mutual- and pension-fund managers, these computer guided trades now account for roughly 60% to 70% of total US-equities trading volumes on the NYSE, Nasdaq, and electronic markets, known as Dark Pools. As a result, many banks and brokerage firms have been able to slash their trading desks' staff in half, while more than doubling their equity trading volume. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold to Hit $2,000 by Year-End on More Fed Easing: Merrill

Gold to Hit $2,000 by Year-End on More Fed Easing: Merrill | Gold and What Moves it. | Scoop.it

by Jean Chua:

 

"Merrill Lynch has added its voice to the chorus of gold bulls who have been predicting that bullion will hit $2000 an ounce.

 

"Francisco Blanch, Head of Global Commodity & Multi-Asset Strategy Research at the investment bank, says he expects the Federal Reserve to initiate an asset-purchasing program of as much as $500 billion in the second half of the year, which will drive spot gold much higher by the end of the year.

 

"We think that $2,000 an ounce is sort of the right number,” Blanch said on CNBC Asia’s “Squawk Box” on Thursday. “We believe that ultimately the Fed will be forced to do quantitative easing . If it happens in September, as our economists expect, we will get a rally sooner in gold. If it happens after the election (in November), we will get the rally a little bit later; probably we will touch $2000 an ounce sometime next year. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

Fleckenstein - Central Banks & The Fed Are Close To Panic

Fleckenstein - Central Banks & The Fed Are Close To Panic | Gold and What Moves it. | Scoop.it

Fleckenstein told King World News:

 

“... What I am salivating over is the chance to really press my gold position. I think the next leg is going to be really, really powerful. When I sense that the Fed is going to pull the trigger, I’m going to make my gold investments a lot more aggressive than they are right now ...The American people are going to realize at some point they need to own gold.

 

"The Fed’s track record is absolutely spectacular at one thing and that is destroying the value of the dollar. And when the Americans start stampeding in, on top of the other people, and everybody finally gets the joke, which they are all going to get before this era of central bank money printing is ended, their is going to be the big, unridable phase of the bull market in gold that’s going to take place. That’s in front of us. It’s probably closer than most people think.”

more...
No comment yet.
Scooped by Hal
Scoop.it!

Here Come The Libor Liability Estimates | ZeroHedge

Here Come The Libor Liability Estimates | ZeroHedge | Gold and What Moves it. | Scoop.it

Posted on http://www.zerohedge.com by Tyler Durden:

 

"Just as we noted here, the analyst estimates for the potential impact of Libor (litigation and regulatory) liabilities have begun. Morgan Stanley sees up to a 17% hit to 2012 EPS (from $420 to $847 million per bank) in a worst case from just regulatory costs, and a further 6.8% potential hit to 2013 EPS if the top-down $400 million average per banks losses from litigation are taken on one year (considerably more if the bottom-up numbers of more than $1 billion are included). They see LIBOR risk in three parts: regulatory fines (we est median 7-12% hit to ‘12 EPS; litigation risk (7% EPS hit over 2 yrs); and less certainty on forward earnings. There are a plethora of assumptions - as one would expect - but the ranges of potential regulatory fine and litigation risk are very large though the MS analysts make the greater point that the LIBOR 'fixing' broadens investor support for more transparency in fixed income trading in addition to fixed income clearing leaving the threat of thinner margins as another investor concern. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

All Hell is Going to Break Loose on the Upside in Gold

With the US dollar hitting fresh two year highs, stock markets struggling around the world, and gold holding firm, today King World News interviewed acclaimed money manager Stephen Leeb, Chairman of Leeb Capital Management, to get his take on what is happening. Leeb told KWN there is a huge scandal because “...the banks don’t have the gold the customers are paying them to have on deposit,” and “all hell is going to break loose on the upside.”

Here is what Leeb had to say about the scandal: “Examples that people like Eric Sprott have given, where an individual depositing gold in 2009, when they asked to get their gold back there were long delays. And the gold bars they got back were certainly not the gold they deposited because they came back dated 2011. What’s that all about?

 

“What’s amazing to me right now, Eric, it’s come down to a world where the war is between those who believe in capitalism and those who don’t. What is interesting is that you have people on the right and the left that have banded together. They don’t trust government and they don’t trust the system, and who can blame them?

 

"But the real scandal here is the banks don’t have the gold the customers are paying them to have on deposit. And the more countries like China and India accumulate, the more likely all hell is going to break loose on the upside. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

Crucial Chart & What to Expect From US Dollar, Euro & Gold

Crucial Chart & What to Expect From US Dollar, Euro & Gold | Gold and What Moves it. | Scoop.it

Dan Norcini tells King World News in relation to gold:

 

"... A lot of people are skeptical of gold's safe haven status, but the fact is it's still an alternative currency. There has also been more talk about bringing it into the monetary system.

 

"Gold is functioning as a quasi-currency right now due to the fears of the health of other global currencies such as the British pound, euro, Japanese yen or the US dollar itself. None of these nations or trading blocs have very strong fundamentals for their currencies.

 

"So you have entities such as central banks that are deeply concerned about the excessive money printing around the world, and they are coming in and buying gold. So there is a pretty decent bid in the gold market down at these levels.

 

"What this pattern in gold is clearly displaying is a very strong and steady accumulation of gold by strong hands. These are value buyers, such as the Chinese, who are doing this heavy accumulation. ..."

 

Click through for the analysis on the dollar and the euro.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Bowles: 'We Are Going Over the Fiscal Cliff'

Bowles: 'We Are Going Over the Fiscal Cliff' | Gold and What Moves it. | Scoop.it
"Everyone know we need something done, and they did their job and Congress has not done its job," says Warren Buffett, Berkshire Hathaway CEO, commenting on the Simpson-Bowles plan to reduce the federal deficit, with former Sen.

 

Worth listening too. Bowles lays it out and in his words, "It's crazy" what we are doing right now.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold Manipulation – Market, Economic, Social, Political and Life Commentary by Peter Grandich

Peter Grandich writes:

 

"Once again it hasn’t been hard to spot, but it doesn’t really seem to matter as few care (outside of this author, a handful of other individuals and the good people at GATA) about manipulation of markets, including gold (like the latest scandal over LIBOR, which should have caused widespread anger but most seem resigned to accept it now as business as usual). ..."

 

 

more...
No comment yet.
Scooped by Hal
Scoop.it!

Biderman's Daily Edge 7/10/12: It's Time for a New Constitutional Convention

Follow TrimTabs' research on Twitter https://twitter.com/#!/charlesbiderman - log on to TrimTabs Money Blog http://trimtabs.com/blog/ - and 'Like' TrimTabs o...

 

"In my opinion, the US needs a new constitutional convention. The first constitutional convention occurred in 1787. The government created back then has obviously done fantastically well. However, if we continue forward in the direction we are headed, what lies ahead is an almost certain major economic calamity.

 

"In last week’s July 4 video I said that the representative form of government set up in 1787 is not working today and has been taken over by the special interest groups. If you doubt that, read convicted lobbyist, Jack Abramoff’s Capitol Punishment, The Hard Truth About Washington Corruption. If as Abramoff claims it no longer matter who wins elections, because the special interest groups control, and in some cases own, the representatives; well then our current form of representative government, has to be changed before calamity hits.

 

"I say that all the special interest groups are parasites. If you are a member of a special interest group the following might be impossible to listen to. A parasite is committed to the death of the host by their actions, and at the same time the parasite has a life and death interest in convincing the host that the parasite is necessary. Taken one step further, these parasites have a death grip hold on the US economy. And they will not let the US government be altered enough to dislodge them, because they know they, the parasites, will die if dislodged. Instead they would rather hold on until the host dies first. ..."

more...
No comment yet.
Scooped by Hal
Scoop.it!

oftwominds-Charles Hugh Smith: As M2 Money Supply Rolls Over, the Stock Market Will Follow

oftwominds-Charles Hugh Smith: As M2 Money Supply Rolls Over, the Stock Market Will Follow | Gold and What Moves it. | Scoop.it

from Charles Hugh Smith:

 

"M2 money supply rose sharply, driving the stock market higher. Now it has peaked and rolled over. That does not bode well for the Bull market.

 

"Our Chartist Friend from Pittsburgh kindly shared a chart of M2 money supply and the S&P 500 stock market index (SPX). The correlation between expansion of the money supply and the stock market is worth studying.

 

"The primary point is that “real growth,” i.e. rising wages and profits powered by increases in productivity, does not require massive growth of M2. ..."

 

[click over to see the rest of the analysis.]

more...
No comment yet.
Scooped by Hal
Scoop.it!

For Investors and Customers, PFG is MF Global all Over Again...

Follow us @ http://twitter.com/laurenlyster http://twitter.com/coveringdelta Welcome to Capital Account. More than $200 million in customer money is allegedl...
more...
No comment yet.
Scooped by Hal
Scoop.it!

Is 'Inept' CFTC "The Get-Away Driver" For PFG? | ZeroHedge

posted by Tyler Durden on ZeroHedge:

 

"I expect to lose money because of the complete incompetence of the Federal regulators" is how Factor LLC's Peter Brandt describes the farce that has rapidly become bankrutpcy for PFG Best to Bloomberg TV today. As we noted earlier, the recent and clearly total ineptitude of the CFTC in identifying (and acting upon) falsehoods is incredible - and twice within one year on a massive scale. In a little over two minutes, Brandt questions the entire CFTC regulatory structure of FCMs and summarizes his views when he reflects on the MFGlobal situation with "the CFTC as the get-away driver of the robbery". What they do in the case of PFG is unclear but we (like Brandt) "have no trust and no faith that the CFTC is capable of handling this mess ..."

 

Click through for video.

more...
No comment yet.