http://www.zerohedge.com/news/2013-08-23/hello-scotia-mocatta-its-jpmorgan-yes-again-we-need-more-gold
Submitted by Tyler Durden on 08/23/2013 16:39 -0400
http://www.zerohedge.com/news/2013-08-23/gold-breaks-above-1400
Submitted by Tyler Durden on 08/23/2013 15:02 -0400
Shanghai is emerging as the new center of the gold trading world, as the price shenanigans of London and New York discredit their exchanges, and accelerate the flow of gold from west to east.
The volumes on the LBMA and the COMEX are larger but misleading, because for the most part they represent the passing around of paper claims, at a leverage of 50 to 1 or more, against a diminishing pile of actual gold bullion. They are now running on custom and momentum, but losing substance and confidence with every passing day.
This is the direct result of not allowing the market to set the price, and the moral hazard of not restraining overly cynical, if not overtly fraudulent, representations of value and risk.
The market operation that took down the price of gold which we saw earlier this year on the COMEX was so blatant, so heavy handed, so patently obvious that it jarred the world markets, and had the opposite effect to which one might presume it was intended. It was a bureaucratic over-reaction, panic more precisely, to the Bundesbank's request for the return of their national gold.
If the Anglo-Americans did not use this opportunity to secure the return of the gold bullion which had been leased out, it was a strategic blunder of epic proportion. It may be viewed in retrospect as the watershed moment in which London and New York squandered away the confidence of the world. In their cynical and amoral self-delusion, and a contempt for other people, they assumed that maintaining public confidence is a function of being bolder and more skillful liars. Nicely played, gentlemen.
Integrity is the prerequisite for confidence, and bad behavior drives out the good. A loss of confidence after repeated abuse is a genuine risk whether one properly accounts for it or not.
Weighed, and found wanting.
The original article from which this chart has been taken can be found here.
The bullion banks are struggling through this August delivery period, and the end next week is in sight.
But who will provide the gold to get the Banks through the important October delivery period? And then December? Winter is coming.
Weighed, and found wanting.
Stand and deliver.
"Hello Scotia Mocatta, It's JPMorgan... Yes, Again... We Need More Gold"
It happened again.
And like the last time JPM plundered 20K ounces of Scotia gold on August 8...
... JPM took directly from Scotia's registered gold inventory. We wonder how regular, non-TBTF customers of Scotia would feel if they learned that their registered gold was now in the "possession" of JPMorgan.
Finally, as a reminder, JPM's sequestering of all available Comex gold is not new. It started on August 7 HSBC:
And culminated on August 12 with the greatComex Color-Coded Crunch:
In brief: it continues.
Gold Breaks Above $1,400
It seems the crossing of the Maginot 100-day moving average combined with Jackson Hole chatter and the dismal new home sales data has set the precious metals ablaze once again. For the first time since early June, gold has crossed the psychological $1,400 level (up 18.5% from its 6/18 lows). We suspect the still-unprecedented short-interest in COMEX gold futures may well be feeling more heat here (having fallen 40% in the last 5 weeks)...
While COMEX Gold has fallen over 40% from its highs, it remains at pretty much all-time historical highs of the last 20 years...
Charts: Bloomberg
http://jessescrossroadscafe.blogspot.com/2013/08/the-center-of-gold-investment-world-is.html
( While JP Morgan et al play games in New york , has the center of the gold worl moved to Shanghai ? )
23 AUGUST 2013
The Center of the Gold Trading World Is Now In Shanghai
"If once you forfeit the confidence of your fellow citizens, you can never regain their respect and esteem."
Abraham Lincoln
"It is lack of confidence, more than anything else, that kills a civilisation. We can destroy ourselves by cynicism and disillusion, just as effectively as by bombs."
Kenneth Clark
"At the root of America's economic crisis lies a moral crisis: the decline of civic virtue among America's political and economic elite. A society of markets, laws, and elections is not enough if the rich and powerful fail to behave with respect, honesty, and compassion toward the rest of society and toward the world."
Jeffrey Sachs
Shanghai is emerging as the new center of the gold trading world, as the price shenanigans of London and New York discredit their exchanges, and accelerate the flow of gold from west to east.
The volumes on the LBMA and the COMEX are larger but misleading, because for the most part they represent the passing around of paper claims, at a leverage of 50 to 1 or more, against a diminishing pile of actual gold bullion. They are now running on custom and momentum, but losing substance and confidence with every passing day.
This is the direct result of not allowing the market to set the price, and the moral hazard of not restraining overly cynical, if not overtly fraudulent, representations of value and risk.
The market operation that took down the price of gold which we saw earlier this year on the COMEX was so blatant, so heavy handed, so patently obvious that it jarred the world markets, and had the opposite effect to which one might presume it was intended. It was a bureaucratic over-reaction, panic more precisely, to the Bundesbank's request for the return of their national gold.
If the Anglo-Americans did not use this opportunity to secure the return of the gold bullion which had been leased out, it was a strategic blunder of epic proportion. It may be viewed in retrospect as the watershed moment in which London and New York squandered away the confidence of the world. In their cynical and amoral self-delusion, and a contempt for other people, they assumed that maintaining public confidence is a function of being bolder and more skillful liars. Nicely played, gentlemen.
Integrity is the prerequisite for confidence, and bad behavior drives out the good. A loss of confidence after repeated abuse is a genuine risk whether one properly accounts for it or not.
Weighed, and found wanting.
The original article from which this chart has been taken can be found here.
Indian government's war on gold drives price to $1,800
Submitted by cpowell on Fri, 2013-08-23 17:23. Section: Daily Dispatches
1:20p ET Friday, August 23, 2013
Dear Friend of GATA and Gold:
Bull Market Thinking's Tekoa Da Silva today interviews a gold dealer in India about the Indian government's war on gold. The dealer reports that government restrictions on gold imports have driven the gold price in India up to $1,800 per ounce while pushing much metal into the country via smuggling. The interview is posted at Bull Market Thinking's Internet site here:
CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Actin Committee Inc.
Gold Anti-Trust Actin Committee Inc.
23 AUGUST 2013
COMEX Eligible Gold Is Holding At Record Low Levels Even At These Higher Prices
"It is not in human nature to deceive others for any long time, without in a measure deceiving ourselves also."
John Henry Newman
The bullion banks are struggling through this August delivery period, and the end next week is in sight.
But who will provide the gold to get the Banks through the important October delivery period? And then December? Winter is coming.
Weighed, and found wanting.
Stand and deliver.
The end of the delivery month draws closer and closer.....
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