Wednesday, May 4, 2011

Mexico Buys 100 tonnes/Global Assault on Paper Gold and Silver continues

Good evening Ladies and Gentlemen:

Today, the banking cartel decided to continue with its massive assault on gold and silver. The bankers are desperate as the end game is now being played out.  This is why I have cautioned you against playing with these bullies.  It is best to thumb your nose at these clowns by buying the physical metal from dealers or from banks.  I also will caution you that you may see a discrepancy between the paper price of metal and the price of the physical metal you buy.

Gold closed today down $26.60 to $1514.19.  The silver price was also hit hard, falling by $3.32 to $39.38.

Let us now head over to the comex and see how events shaped up over there.
The total gold comex OI fell by only 5561 contracts despite the huge attack by the bankers.  Today's comex OI rests at 522,323 (basis Tuesday) whereas the Tuesday reading (basis Monday) came in at 527,884.  Not much liquidation here.  The bankers were quite annoyed that not many leaves fell from the gold tree.  The front options expiry month of May saw its OI rise surprisingly from 116 to 162.  There were only 2 deliveries yesterday so we gained in gold oz standing and lost nothing to Blythe Masters and her court of merry men (JPMorgan). The next front month of June which will become the Battle of Waterloo saw its OI fall marginally from 342,856 to 335,266.  The bankers needed a bigger drop here.  The estimated volume at the gold comex today was a monstrous 214,373 with hardly any switches.  The confirmed volume yesterday was also huge at 218,289.  It kind of shows you the massive fire power by the banking cartel with  non backed gold paper.  The regulators are still in a daze as they do not know what to do.

And now for silver:

The total silver open interest shocked the living daylights out of bankers today. The total OI rose by 1340 contracts. The bankers were hoping to see huge number of silver leaves fall from the tree.  They were shocked as there was no liquidation whatsoever.  I guess that was the reason for another  raid today. All eyes are on the front delivery month of May.  The OI fell from 1052 to 692 for a loss of 360 contracts and only 77 deliveries yesterday.  We lost a huge number of silver oz again to Blythe. She must have offered huge premiums again. The next front month for silver is July and here we saw the OI lowered from 78,417 to 77,868. The estimated volume at the silver comex today was 152,930 with no switches.  (this represents 765 million oz or over 100% of annual silver production).  The confirmed volume yesterday was an astonishing 179,916 or close to 900 million oz of silver.

Here is the chart for 5/4/2011 regarding deliveries and inventory changes at the comex

Withdrawals from Dealers Inventory 4758 (Brinks)
Withdrawals from Customer Inventory 603,181 (Brinks)
Deposits to the Dealer Inventory NIL
Deposits to the Customer Inventory 1,434,657 (various)
No of oz served (contracts) 130,000  (26)
No of oz to be served  (notices) 3,330,000  (666)
Total this month oz silver served (contracts) 565,000  (113)
Total accumulative withdrawal of silver from the Dealersinventory this month 4758
Total accumulative withdrawal of silver from the Customerinventory this month 1,234,592

Withdrawals from Dealers Inventory
Withdrawals fromCustomer Inventory
25,858  (various)
Deposits to the Dealer Inventory
4700 (Brinks)
Deposits to the Customer Inventory
No of oz served (contracts)  today
 10800  (108)
No of oz to be served  (notices)
 54  (5400)
Total monthly oz gold served (contracts) so far this month
 13000 oz (130)
Total accumulative withdrawal of gold from the Dealers inventory this month
Total acculumulative withdrawal of gold from the Customer inventory this month

Let me begin with gold:

Today we witnessed a deposit of 4700 oz of gold into the vault of Brinks.
Please note that we again got an exact round number of 4700 instead of say 4701 or 4702.
Gold bars are not exactly 100 oz or 400 oz and can vary widely. It is rare to have an exact deposit of 4700 oz.  Thus I believe that this deposit is paper only. The comex stated that there were no withdrawals by the dealer and there were no deposits of gold by the customer.
We did experience withdrawals from the customer:
1. 100 oz (Brinks)
2. 25,083 oz (HSBC)
3. 675 oz (Manfra)
total 25,858 oz.

The comex notified us that there was an adjustment of 200 oz from the dealer to the customer account.
Maybe this is a repayment of a lease from a prior commitment. There was another adjustment of 1000 oz exactly added to the customer.

Today, the comex notified us that we had 108 notices for delivery served upon our longs for a total of 10800 oz of gold.  The total number of gold notices standing so far total 130 or 13000 oz of gold. To obtain what is left to be served, I take the OI of May (162) and subtract out today's deliveries  (108) which leaves me with 
54 notices or 5400 oz of gold to be served upon.

Thus the total number of gold oz standing in this non delivery month of May is as follows:
13,000 oz (served)  +  5400 oz (to be served)  =  18,400 oz.  Yesterday we had a total of 13,600 oz so we are finally seeing this number start to rise.

And now for silver.  First let me apologize as somehow my chart got obliterated as I posted it last night and I did not notice it.  I proof read before posting but I did not check the actual post. I am truly sorry for blowing it last night.

The silver comex had no deposits for the dealer.  Strange for a delivery month. The dealer however did have a withdrawal of 4758 oz as silver left Brink's dealer vault.

The customer had huge deposits of silver:

1. 599,231 oz into Brinks
2. 634,547 oz into Scotia
3.  200,879 oz into JPMorgan.
total:  1,434,657 oz

The customer has a huge withdrawal of 603,181 oz.
When you see these huge movements of silver, you know there are problems in the physical markets as silver is needed somewhere  as investors seek the diminishing supply of this commodity.

Today the comex folk announced a total of only 26 notices that were served upon our longs for a total of
130,000 oz of silver. You will note that in the past 5 days, we only have the following notices filed:

day 1:  6 only
day 2:   4 only
day 3:     zero
day 4:    77 only.
day 5:    26 only.
total 113

And this is a delivery month.  In a nutshell, these guys do not have any physical silver to serve upon our longs.

The total number of notices filed so far this month total 113 for 565,000 oz. To obtain what is left to be served upon, I take the OI at 692 and subtract out today's deliveries (26) which leaves me with 666 notices or 3,330,000 oz left to be served upon.

Thus the total number of silver oz standing in this delivery month is as follows:
565,000 oz  +  3,330,000 (to be served)  =  3,895,000 oz.  Yesterday we had a total of 5,310,000
so we lost another 1.415 million oz for cash settlements.

The gold and silver shares did not participate in the drubbing today and actually held their ground.
Thus the raid is now over and gold and silver metals will have a good day tomorrow as the bankers try and cover the massive amounts of paper they supplied.


Let us head over to our ETF's

The two ETF's that I follow are the GLD and SLV.  These two funds have no metal behind them and you should steer away from these fraudulent vehicles.

First GLD inventory changes:  May 4.2011:

Total Gold in Trust

Tonnes: 1,219.94
Value US$:

Total Gold in Trust:  May 3.

Tonnes: 1,224.49
Value US$:

We lost a rather large 4.55 tonnes of gold. This is real gold that has left the GLD.  It may have been liquidation by owners but I doubt it.  Probably some nation needed metal and got it through the GLD.  The GLD guys supplied the metal but the problem here is that this gold does not belong to them or their shareholders but to the Bank of England.  The GLD folk received the gold on a swap arrangement whereby they supplied cash and the B. of E supplied the gold.  However the Bank of England can re-swap this gold back at any time. The gold at the Bank of England is not really theirs but depositors like the wealthy Arab sheiks.  This is when the whole house of cards fall!

How about the SLV?  May 4.2011:
eption Date4/21/2006
Ounces of Silver in Trust333,958,061.600
Tonnes of Silver in Trust Tonnes of Silver in Trust10,387.26
SLV:  May 3.2011:

Ounces of Silver in Trust354,100,312.500
Tonnes of Silver in Trust Tonnes of Silver in Trust11,013.75
I find this absolutely astonishing:  a loss of 20.14 million oz of silver.
And you honestly believe that they can move 20.14 million oz out of the SLV vaults in one day?
and they are short somewhere around 26-30 million oz? Where are on earth are the regulators?
If any of you play with this vehicle you are at peril on this one.
I doubt very much if they have any real physical left.  It is quite conceivable that all of its silver is encumbered.

Let us head over to our closed physical funds that we follow: the Central Fund of Canada and Sprott's gold and silver funds:
Wait to you see the central fund's Nav!!!!!

1. Central Fund of Canada:  Negative NAV 3.7% in Usa funds and negative 3.6% in Canadian funds.
2. Sprott silver fund  (PSLV):  Premium to NAV remains high at 11.02%
3. Sprott gold fund (PHYS): premium to NAV lowers to 1.23%.


Now we shall we the big stories of today.
There is no question that this certainly bewildered our bankers as Mexico announced a purchase of 93.6 tonnes of gold.  (story is courtesy of the Financial Times and the author is Jack Farchy:

Huge gold purchase by Mexico's central bank: 100 tonnesBy Jack Farchy
Financial Times, London
Wednesday, May 4, 2011,s01=1.htm...
The central bank of Mexico bought nearly 100 tonnes of gold in February and March, the latest emerging market country to turn to bullion as a means of diversifying away from the faltering dollar.
The purchase is one of the largest by a central bank in recent history. The gold, worth $4.6 billion at current prices, is equivalent to about 3.5 per cent of annual mined output.
The central bank has not been publicly announced the move but has reported it both on its own balance sheet, posted it online, and reported it to the International Monetary Fund's statistics on international reserves.
Central banks became net buyers of gold last year after two decades of heavy selling, a dramatic reversal that has helped propel the price of bullion to a series of record highs.
On Wednesday morning, gold was trading at $1,535 a troy ounce, down from the nominal record of $1,575.79 touched on Monday.
Mexico follows other booming emerging-market economies, including China, India, and Russia, which have all made large additions to their gold reserves in recent years.
Matthew Turner, precious metals strategist at Mitsubishi, the Japanese trading house, said the purchase "seems to confirm there's an appetite now among emerging economies with large forex reserves to add to their gold reserves. Gold is seen as one way in which to diversify away from the dollar- or euro-denominated assets."
The dollar has plunged 10 per cent since January against the world's major currencies and is trading near an all-time low. Robert Zoellick, president of the World Bank, has suggested that gold should form part of a new international monetary system.
China announced in 2009 that it had bought 454 tonnes of gold over the previous six years; India bought 200 tonnes of gold directly from the International Monetary Fund in October 2009; and Russia has bought just less than 400 tonnes on the open market over the past five years.
However, Mexico's buying in February and March, which amounted to 93.3 tonnes of gold, is one of the most rapid programmes of accumulation on record. Apart from India's off-market purchase in 2009, the 78.5 tonnes bought in March is the largest monthly purchase by a central bank in at least a decade, according to data from the World Gold Council.
The Bank of Mexico could not be reached for comment on Wednesday morning.

I can imagine China or Russia but Mexico? Central banks around the world are buying gold to shore up their reserves. My problem is where did they get this gold? Is it "stored" in the USA as paper gold?  However it does show you how anxious countries are in trying to replace the USA dollar with gold as "official" reserves.

Not to be undone by the Mexicans, the Chinese entered the fray today stating that they want more gold than the USA.  I have no idea why they are saying that they desire more gold than the usa.  They definitely have more gold now as Fort Knox is empty.

Here is this release from Reuters:
China "Aims To Have More Gold Than America"

THE CENTRAL BANKS of developing countries will Buy Gold at an increasing rate in coming years, with China being a leading player, according to a major industry figure.
China AimsToHaveMoreGoldThanAmerica
A worker displays gold ingots at a manufacture unit of PT Logam Mulia in Jakarta
Rob McEwen, founder and former head of Goldcorp, now the world's fifth largest Gold Miningcompany, believes central bank purchases could help push the price of gold to $2000 an ounce by the end of the year.
"China is out to have more gold than America, and Russia is aspiring to the same,"said McEwen, who is now chairman and CEO of junior miner US Gold. "When you have debt, you don't have a lot of flexibility. China wants to show its currency has more backing than the US."
According to figures from the World Gold Council (WGC), China's gold reserves were worth $48.2 billion in March 2011. This compares to $372.2 billion for the US. Russia's gold reserves were estimated to be worth $36.1 billion.
Central banks became net buyers of gold in 2010. The WGC reports that, over the past decade, European central banks alone have accounted for approximately 10% of the world's annual gold supply, selling an average 388 tonnes a year. However, these sales "have virtually come to a halt" in the last three years, the WGC says.
A survey by Central Banking Publications revealed this month that over 70% of reserve managers expect central banks will remain net gold buyers.

Dave of Denver from his site at the GoldenTruth weighs in on the Mexican purchase:

 MAY 4, 2011

The Global Move Out Of Dollars Continues

as Mexico buys 100 tonnes of gold, China/Korea/Japan will study using local currencies for trade settlement and India will settle it's oil purchases from Iran in rupees

The Financial Times reported the Mexico purchase:  "The purchase is one of the largest by a central bank in recent history. The gold, worth $4.6bn at current prices, is equivalent to about 3.5 per cent of annual mined output."  Here's the link, you may need to register for free to see the whole article: LINK Do not anticipate that U.S. media/CNBC will be reporting that one.  Here is the link for the China/Korea/Japan article:  LINK  (you may need to copy the headline and paste it into a google search window and then click on the top link that comes up in order to see the article for free).  And here is the article for the India/Iran news:  LINK   Iran is India's second largest oil supplier.

All three events are more evidence that the world is moving away from the U.S. dollar standard.  Mexico is one of several large Central Banks buying significant amounts of gold with their dollar reserves and, I believe, is the first western CB to do so.  This is very bad news for anyone out there who does not understand the risks of holding their wealth in U.S. dollars.  One day many millionaires in this country will wake up to find that their millions sitting in banks and brokerages will be of no value to anyone except as fuel for heat

Now let us see some of the big economic stories of the day.

The USA announced that the private ADP jobs numbers were much lighter than expected.
The Dow fell on this news  (courtesy Reuters)

US private sector adds 179,000 jobs in April-report
NEW YORK, May 4 (Reuters) - U.S. private employers added 179,000 jobs in April, coming in shy of economists' expectations, a report by a payrolls processor showed on

Economists surveyed by Reuters had forecast the ADP Employer Services report would show a gain of 198,000 jobs.
March private payrolls were revised up to an increase of 207,000 from a previously reported 201,000.


And then this number came out at 10 am where the service ISM number came in much weaker across the usa:  (courtesy Reuters)
Service sector growth slows in April: ISMNEW YORK (Reuters) - The pace of growth in the U.S. services sector unexpectedly eased in April, according to an industry report released on Wednesday.
The Institute for Supply Management said its services index fell to 52.8 last month from 57.3 in March. That was well below economists' forecasts for 57.4, according to a Reuters survey.
A reading above 50 indicates expansion in the sector.

I was waiting for this one for a while.  Geithner is asking for 2 trillion dollar raise in the debt ceiling to tide them over until the election in 2012 is over.  And they plan on cutting expenses?

Here is this report courtesy of Reuters:

Treasury suggests $2 trillion U.S. debt cap raise: sources
WASHINGTON (Reuters) - The Treasury has told lawmakers a roughly $2 trillion rise in the legal limit on federal debt would be needed to ensure the government can keep borrowing through the 2012 presidential election, sources with knowledge of the discussions said.
Obama administration officials have repeatedly said that it is up to Congress to decide by how much the $14.3 trillion debt limit should be raised.
But when lawmakers asked how much of an increase would be needed to meet the government's obligations into early 2013, Treasury officials floated the $2 trillion working figure, Senate and administration sources told Reuters.
Former Treasury officials have said it is routine for Congress to ask the Treasury Department for guidance. Republican leaders have asked the White House to provide the size of any proposed increase before the two sides sit down on Thursday to discuss the debt limit face-to-face.
"We have not specified an amount or a time frame. We think that should be left up to Congress," Mary Miller, Treasury's assistant secretary for financial markets, told reporters on Wednesday.
She also said it would be better to raise the debt ceiling enough so that the government does not bump up against it so frequently.
"Obviously, a longer period of time between these activities would be beneficial in terms of the work that goes into preparing for a debt limit increase. But again, you know that's not the Treasury's call," she said.
A Reuters analysis of Treasury's borrowing needs forecast Congress would have to raise the debt ceiling by more than $2 trillion to get through next year's election without having to revisit the issue. According to the Treasury, the government borrows on average about $125 billion per month.

I thought that the usa authorities were stating that there was no inflation present:
Here is this great article published today by Reuters of the rampant inflation in the USA:
(courtesy Reuters)

US food prices set for 'sustained' rise-Dallas Fed

CHICAGO, May 3 (Reuters) - U.S. food prices may be headed for a sustained bout of inflation, a Dallas Federal Reserve Bank researcher said on Tuesday, citing data on brand-named foods such as Campbell's soup and Kellogg's Frosted Flakes.
Prices for "more-processed" foods rose at an annualized 5.2 percent rate in January and February, compared with a decline of 0.9 percent in the first six months of last year, Dallas Fed senior economist Jim Dolmas said in the bank's latest Economic Letter.
Those prices are a more comprehensive gauge of future good price trends than overall food prices, Dolmas argued.
That's because producers of brand-named foods change prices less frequently than do makers of raw foods, and therefore incorporate a forward-looking view of food costs when they do set prices, he said. As prices of more-processed foods go, Dolmas wrote, so go overall food prices.
"A sustained period of higher food price inflation may be in store for U.S. consumers," he concluded.
Dolmas' focus on a subset of food prices to predict overall food price trends mirrors the Fed's use of core inflation, which excludes sharply higher food and energy prices, to anticipate overall inflation.
The Fed's decision to continue to pump liquidity into the U.S. economy late last month rested heavily on its view that recent commodities price increases are likely to be transitory.
Some analysts have criticized the Fed's focus on core inflation, and have suggested it should pay more attention headline inflation, which is rising much faster.
Dolmas -- whose boss, Dallas Fed President Richard Fisher has warned the Fed's super-easy monetary policy may be fueling future inflation -- defended the idea of a "core" inflation index.
"The idea that one can learn more about inflation by ignoring some of its components is certainly counterintuitive," Dolmas wrote. Still, he said, "Core inflation measures, to greater or lesser degrees, have this trend-tracking property.


And for those who think that the recovery is well under way, guess again/  The number of citizens on food stamps is now one in 7.  The story is from today's Wall Street Journal and the author is Sara Murray:

About 1 in 7 in U.S. Receive Food Stamps - WSJ

By Sara Murray
Growth in the food stamp program appeared to reach a plateau in February — with 14.3% of the population relying on the safety net program.
The number of food stamp recipients was essentially flat in February, the most recent month available, with 44.2 million Americans receiving benefits, according a new report from the U.S. Department of Agriculture. (See a sortable breakdown of the data here.)
The food stamp program ballooned during the recession as workers lost their jobs or saw their hours and income reduced. The rise in recipients has begun to flatten in recent months, which may mean that as the economy is improving fewer Americans are seeking to join the program. Enrollment in the program is still high though, with 11.6% more people tapping benefits in February than the same month a year earlier.
Food stamp numbers aren’t seasonally adjusted though, meaning a variety of factors could influence the monthly tallies and the program could grow again in coming months.
Mississippi and Oregon were among the states with the largest share of the population utilizing food stamps in February: At least one in five residents in each state were receiving benefits.
Wyoming had the lowest rate of recipients with just 6.6% of the state’s residents using food stamps.


Oh my gosh, I just got this from zero hedge just now.  They raised the margins on silver again for the 4th time in a week.  I guess I am right, there is no silver at the comex
and they scared out of their minds that the 3.3 million oz standing will not budge and receive cash.
I am so sorry to report this to you. I urge you not to go near the comex; and do not buy paper silver or gold.  Please only buy physical metals.
You must also be very careful of gold and silver shares as this is paper as well and these goons can short the living daylights out shares as they just add them to their FDT's  (failure to deliver).  Here is zero hedge on the announcement of a silver margin rise:

CME Hikes Silver Margins By 17%: 4th Hike In 8 Trading Days

Tyler Durden's picture

Nobody could have foreseen this. Nobody. At this point there is nothing left to comment on what is a concerted action to "mitigate" any and all risk in the commodity market but could as well be classified as executive order 6102.5. While we were joking before that soon one will have to post more cash than an silver contract is worth, we are now forced to reevaluate this sarcasm.
CME Silver:


Ladies and Gentlemen:
expect massive volatility in the next few days as the end game is being played out. 
Expect 'atomic bombs' to be released. (massive non backed paper)

It is getting very difficult for me to report to you as we are witnessing massive fraud  on a daily basis.
It is so hard for me to write these developments to you.

all the best


Anonymous said...

Harvey, thanks for your reports, as I am a long-time lurker, and I never post.

It is tough to read your posts about the massive fraud, but still, I keep reading because it's such important information.

Thank you.

Anonymous said...

Keep buying silver and forget about the spot price.

The CME is our friend and it lets us buy silver at bargain prices. Be thankful everyone!

Anonymous said...

Hi Harvey, I'm also one of I guess many daily readers who seldom posts but still very much appreciates the work you put in to keep us informed and educated.

So a very heartfelt thanks for hanging in there despite the feeling of fighting both the criminals and the police.

Anonymous said...

Ho ho ho...oh my.

Anyone want 2,500 shares of AGQ? Comes with free E*Trade account too.


(ala Captain Kirk, Wrath of Khan)

Anonymous said...

Here comes the troll with 2500 AGQ shares!!!

Do you have enough money to buy a loaf of bread?

Anonymous said...

Ill take it!!! Ill take it!!! Ill GLADLY take over $500000 in AGQ shares!!! Have e-trade cut me the check and Ill be purchasing physical the same day!!!

j/k man, it sucks royal to lose money. Best to learn from what just happened.

snooki said...

Maybe Soros sold his gold to Mexico??

Everyone and their mother is claiming the gold/silver bubble has burst.

Anonymous said...

uhhh... half mil in a Baby E-Trade account? WTF!

Did your account come with a free fleshlight?

Anonymous said...

E*TRADE - Trading for Toddlers

Our Customers Literally Fill Their Shorts

snooki said...

Is it possible Soros sold his gold to Mexico?

It amazes me how people seeing news of Soros divesting (or stating his divestment) from gold and silver causes panic selling and talk of the gold/silver bubble being burst.

mainstreeteconomist said...

Yup, and everyone and their mother was WRONG about the tech stocks in early 2000 and WRONG about housing in 2006. You simply did NOT hear about the horrendous bubbles in neither of them on the financial networks at that time did you?! The handful who called those tops were literally a lone voice crying in the wilderness!

Just tells me we are nowhere NEAR a secular top in gold/silver. There is another horrendous buying opportunity coming, just like last August. Just a question of when.

Anonymous said...

zerohedge says theres two margin hikes in the works, one tomorrow and one on may 9th.

Anonymous said...

God bless you, Harvey! Keep on fighting the good fight - you are an important voice in the wilderness.

RumbleGuts said...

Thx to you and Steve for your hard work Harvey!

Anonymous said...

Your reporting is a service to mankind.

Thank you!

/Devoted European Reader

Harvey Organ said...

Gals and Guys:

the details of the CME reveal that there will be another margin rise on May 9 as well as tomorrow.

that means 5 raises in 8 days.

I give up..I cannot take this fraud any more as many sit around and do nothing.

looks to me like the world is falling apart.

all the best

Anonymous said...

it is a war for the future (if there is to even be one) of humanity. silver is right in the middle of this. real vs fake...ideas vs the deadway/a desired-forced deadend/the way-of-the-lie/all humanity dead...from a core of self-hatred/jealousy & mental blindness. what is the direction of the whole: those who choose the way-of-Life path and back through and around to all those who've chosen a way that dies/that kills. it has always been this way/the dynamic of human progress & positive change (that's within the realm of our control & ability to affect) against a backdrop of all those who don't give a damn and/or those who actually are trying to destroy Life (the psychopaths). if enough chose and live in a Life promoting way (if you know what this is/that such really exists as well as it's converse and all the inbetween)...humnaity may live (perhaps much longer)...if not (and it is easier to destroy most things than it is to create them)...well, at least you will understand why and what us. the flaws in our institutions and systems are the flaws in ourselves. the solutions will come from us/each who really cares about a better or best way as well. no one is the same. each is unique for alltime. the individual is sacred.

well, i still try. nice work Harvey!

Anonymous said...

'All that is necessary for the triumph of evil, is that good men do nothing.' - Edmund Burke.

Keep fighting the good fight Mr. Organ.

Anonymous said...

Don't give up! You are doing great and help consolidate our will to break down the manipulation.

Anonymous said...

clarifying my post at 6:05pm

Ideals vs the Deadway

i chose Life.

silvergoldsilver said...

"The gold and silver shares did not participate in the drubbing today and actually held their ground.
Thus the raid is now over and gold and silver metals will have a good day tomorrow as the bankers try and cover the massive amounts of paper they supplied."

2 more margins hikes...not sure if we are going up this week Harv, hate to be the barer of bad news.

Anonymous said...

Harvey thank you very much for providing us with this information. I don't miss a one. I have an acquaintance who is so freaked out at the corruption in the markets that he has crawled under a rock and stuck his savings into FDIC insured bank accounts. -4%+ return after inflation. He trusts no one. I, on the other hand, trust your presentation of the facts. This daily read has encouraged me to stay in PM's.
Buzz Hacksaw

Anonymous said...

Gday Harvey,thanks for your coverage. Western media tend to report that China,Russia and India are increasing their Central Bank gold reserves, but there is hardly any coverage of the gold accumulation by smaller developing countries, that are becoming richer on the coat tails of China and Asia buying their natural resources.Their are many smaller countries in Africa,around the Indian Ocean and the Americas that are either in the process of building up their CB gold reserves or their officials are debating whether to increase their reserves.It is widespread and gathering momentum. When you add all these countries gold purchases together, its is a significant amount of gold.

Anonymous said...

Two more margin hikes?!

holy fuck!

scmiles said...

Silver is still at $45.00 on First Majestics site. On Ebay Silver is still selling anywhere between $45-$55.00 an ounce. Obviously the Comex and actual physical prices are starting to widen. Keep up the good work Harvey, you will be amazed at the following you have

Anonymous said...

Mahalo Harvey for your postings.
I have certainly received an education from you!
Your statements warning us about trading in "paper" were greatly appreciated but did think we would be fairly safe w/Sprott.
It's lookin pretty grim...Any chance of this fund surviving and not being dragged down with the rest? (don't blame you for wanting to give up.....I'd like to depart from the insanity of it all myself! Hawaiian lava rocks are beginning to look like the next "safe haven")

afrum said...

38.80 50dma silver spot looks like a nice place for china/asia to call out the cme/crimex silver bluff. We criminals got all the silver to deliver you need; now and forever. LOLOLOL!! Shoot the USDINKer dollar in the head; Asia! DINKer dollar terminal! Put it out of it's misery tonight. So far it's looking good. This will panic naked short covering. Good! Puke rodent lemming flem wads falling all over one another toward the precipice. What fall street thief leaps to a horrifying death 1st. Let the porkin pigmen begin to fly; allowing buzzards road pizza feasts for years!

Eggdawg said...

Some interesting comments tonight! As for the Soros selling, fits right into Harvey's comments! He is divesting in paper not physical. Makes me feel like there is something really big coming.. Maybe not a good thing but we shall see. Not much we can do except inform others as I have been trying to do. Very few listen - bubble what a joke! Long time reader first time poster. Thanks for all your hard work Harvey!

Anonymous said...

Long-time reader, though never posted, but felt I wanted to thank you for your excellent work Harvey.

Such a gentleman is rare in the "market blogs" and you, and your perspectives, are valued by so many.

Here's hoping you don't back away from posting, even as "things fall apart, the centre cannot hold" - we will live the end of a system only, witness to change.

/salute sir!

Eternal Student said...


If you give up, the Bankers win. And who will be left documenting this historic time period?

@People asking about PSLV:

Keep in mind that, if the physical price does once again separate from the paper price, that this will set up an arbitrage opportunity. Get the physical for cheap from Sprott, and sell it high.

That ought to keep upward pressure on PSLV. But how exactly things will pan out remains to be seen.

Anonymous said...

Please keep up the good work Harvey. I've being buying physical for a while now thanks to you and a few others. I come home every night from work, feed the dog, talk to my wife and I read your blog. I look forward to it every day because I know I will get the unvarnished truth from you.

Thank you Sir.

Afrum, as always I like the comment :)

I've bought physical for several reasons for a while now and those reasons still have not changed.

Anonymous said...

I'm a newbie in precious metal and have physical gold/silver at hand, plus physical gold/silver in an IRA account. Now, I'm a bit concern about this paper gold/silver crapola stuff. Like I mention my IRA is gold/silver and I pay a maintenance fee/plus a annual storage fee.
How do I know that my custodian is actually holding the real stuff and it's not just on paper????

Anonymous said...

Oh, I forgot to thank you Harvey.
I've been reading your blog for quiet some time. At first, I didn't quiet understand what you were saying. But, after re-reading I think I finally get it. :)

Either way, thank you for your honest reporting.

Anonymous said...

Thanks for the effort Harvey. Most of your readers feel the same. We figured out what was going on but were secretly hoping to be wrong because the truth is a bummer.
But, since we know we're right it's time for us to shine and lead the way out of this crapstorm. That odd saying applies to us here and now: When the going gets weird, the weird turn pro. We have no choice but to accept the challenge.
Keep up the good work. It is important to thousands of us "pros." Old Jake

Devoted reader said...

I have been reading your blog for 2 years now, and have read almost every post. I am hopelessly addicted to your words, and to the good fight we are in the midst of. You are appreciated more than you can possibly know. Thank you

Anonymous said...

Harvey, don't forget that you will be a part of history.

All of us who bought physical will be.

Anonymous said...

Good Evening Mr Organ

I am yet another who has followed your blog for sometime with great interest.

Let me now also thank you for all you do & report on.

I feel it is as you say a time of great volatility or atomic bombs as you described.

I have never been one for paper & have been only interested in that which I hold myself.

It is interesting times indeed & a time I knew was coming. The disconnect between paper & physical is at hand.

Many will be shaken out of physical at this time by confusing what they see in the paper games.

Through your blog I feel assured I will not be one of them

Thank You

Anonymous said...


do not despair, we need to hear the truth.

bless you for sharing your knowledge of the death star a.k.a. the comex

This comment has been removed by the author.
Anonymous said...

Sometimes I have to scratch my head at some of the stuff I read on King World News. WTF?!?!?!

Richard Russell:
"The SPDR Gold ETF (GLD) has now grown to such a size that if it were a stand-alone country it would now be the 6th largest holder of gold in the world. That's remarkable."

Yeah sure it's remarkable.....

And Bill Fleckenstein believes there is no manipulation in the PM markets.

Why am I not the manager of a large fund? I know more about what's going on than these guys do. Sometimes I wonder how much that site is more of an old boys' club.

Anonymous said...

US dolalr index is about to break through 72,25 any day now. if that happens the dollar might fall alot fast.
Then price of gold should go up, the bankers wouldn't be able to stop that.

Harvey Organ said...

to anonymous:
re real silver.

there must be bar numbers and weights
if not you have unallocated silver.

please convert to real physical.all the best

Anonymous said...


I have watched you honorably send letters to the CFTC in hopes that they would address the situation before us.

As for me, I called a spade a spade a long time ago. These people over at the CFTC aren't ignorant. They know exactly what is happening and have allowed it to continue on because the cat is already out of the bag. There is no simple solution.

Who is to blame? I'm not one to point fingers at any one individual. What they are confronting is beyond massive corruption and for anyone person to think they can change what is coming is like standing on the beach trying to stop a Tsunami with your hand raised against it.

At this point someone in your position of understanding can only sound the alarm. So, take courage and keep on keeping on. Sound the alarm and help as many as you can get to safety. This is where you should continue to focus your energy and never be discouaged in what you are truly trying to acheive.

Afterall, and I know you know, those grandkids and family of yours are truly the most precious things that exist.

Sam Johnson said...

If silver drops through 36.50 it is very likely to continue down to 34.00.

It appears that all of the large hedge funds have changed gears and gone to a new ball game [short term.]

ALSO - Martin Armstrong says the best scenario would be for gold to have a low on June 13th. This guy is so good the government locked him up. He was the economics professor at Princeton and lectured around the world. His trading system that he destroyed to keep the government from getting it would cost in excess of 1 BILLION DOLLARS today [thus he was thrown into jail for 11 years!!!!]

See what Martin has to say here >>>

WallStreetTiger said...

Thank you Harvey. Itruly enjoy reading you as all of us do. You make us feel as if we all have a good friend in our corner:)
Backwardation is increasing as we trade today AGAIN another 23 cents at the moment. Get physical everyone. This will not last and the ensuing rise should be just as wonderful if not better than this crash.

bourani said...

Mr. Organ, you didn't really believe these animals would go out with a whimper did you?

But my question is do u think President Obama has already been alerted by his treasury secretary that the comex is close to default?

histump said...

harvey i'm another one of your regular readers, and very much appreciate your work. thank you for your time and effort.

TripTrip said...

Thanks Harvey for all your hard work. These criminals will not go down without a fight. If you think about it this is unfolding as expected. They are trying there best to shake our confidence. The end game has always been to remove physical silver so it can't be manipulated by unbacked paper. We just have to keep doing that. Keep up the good the fight. You are an inspiration to us all.

Anonymous said...

Thanks Harvey:~)

Anonymous said...

Harvey -

How long do you suppose these gangsters can keep on killing the little people? Unlike others - I want to see this entire mess blow up and maybe, just maybe, enough of us will grow a set and throw these bums under a bus or put them in jail.

Sam Johnson said...

Let's HOPE the 34.00 area holds - if not we could go all the way down to 26.00. What a nightmare.

Stop playing in their game and buy physical. It is the only way we can win - and win big.

FunkyMonkeyBoy said...

Surely, the criminal banks that are short heavy need to buy back their enormous shorts at some point to close the deal... and the enormous buyback will cause a big surge, even if it is only paper silver.

And seeing as these banks are suppose to be naked short, will there actually be enough paper silver around to buy back?

Sam Johnson said...

Why do you think they would HAVE to buy back their paper??

These guys are in collusion with our government. They print money and through it away to suppress the price of silver and then they buy physical at a super low price.

In the end - they will just go bankrupt and will have a bunch of worthless paper in the silver market. Who will care at that point? There is nothing we can do but hope this game will end soon!

Anonymous said...

If silver drops into the 20's again I will sell the farm move to ecuadore buy as much physical silver and gold I can bury and retire at 45

taurus5681 said...

i'm not fully understanding this. Is this the banks last hoorah to bring the prices down with paper? are they now well into the abyss?

Anonymous said...

Hi Harvey,
Jim Sinclair sez:
"Margins will continue to rise on the COMEX until it reaches the cash price of silver. This works for the shorts as their hammer on the silver market reduced the equity of low cost positions. "

How long can this fraud and manipulation go on, do you think, given that it basically can't go higher than this:
Margin = Silver Price

Would BTFD if I could. Just wondering if The End is next month, or if the COMEX (CON-EX) will keep this up with CFTC and SEC support for another 2-3-6 months??

Stay on task and continue your incredible documentation. There are many of us who cherish and HANG on your words. To everyone else: BTFD!

Sam The Silver Bull said...

Most people dont understand Geo-politics and the Iluminist crack pot behind the curtain .They needed to pull all the stops to stop the silver train and commodites complex going super-nova ....... They needed to pull a mini dollar rally and a mini deflation collapse so they can 1- get Obama re-elected ( how else can you re-elect a man if the dollar is collapsing and silver is at 100 a ounce and gold at 2000 ....2- have a excuse for QE3 and 3- Let there crack pot buddies get as much phyz silver and gold as possible before the hyper-Inflation event that will kill the dollar ...... So expect a huge crash soon so they ( Obama and economic advisor ) can come up as the saviors once again and wait till you see the next round of QE3 and stimulus package its giving Paul Krugman a Massive hard-On .... SO expect choppy action till dec best advise is BUY BUY BUYYYYYYYY

Sam The Silver Bull said...
This comment has been removed by the author.
Anonymous said...

HI Harvey what has ever happened about that story YOU broke out to us regarding that Robert fellow from TROPOS and SO CALLED stolen money from China when you broke the story back around December we have heard no more of this. Or have you come to the conclusion that this was A SCAM in the making....

Donniel said...


I know you are busy...but, if you can tell us what happens to pslv if the comex crashes or if we go to a paper vs. physical price system. I am sure many others would like to know also...

Thank you for all your hard work.


Hunkered_Down said...

Would BTFD if I could. Just wondering if The End is next month, or if the COMEX (CON-EX) will keep this up with CFTC and SEC support for another 2-3-6 months??

Most of the Metal Heads have bought some silver because the demand is much higher than the supply. They expect that to cause a massive short squeeze on the COMEX with the COMEX eventually defaulting.

I don't think it is going to play out that way. JP Morgan has a bunch of reasons they can terminate the SLV ETF. With the manipulated price spike downward there have been close to 25 million oz. of silver sold out of the SLV ETF. What physical silver is there is in 1000 oz. 'Good Delivery' bars. Exactly what JP Morgan needs at the moment.

And if they have to, they can find a reason to liquidate the SLV ETF at a low price and of course, they will have no choice but to sell every oz. of metal there into the market.

Isn't it ironic. In the middle of a huge shortage for physical metal, there is going to be a flood of physical metal hitting the market and the price?

This non-sense is going to end. But the end is still many, many months out.

Anonymous said...

I must admit I just learned about you and your gold and silver reports from a friend that lives out of state. Once I started reading them I am hooked. I have always believed the market manipulation of gold and silver were suspect but had few people that were "onto" this to talk to. Now, I not only enjoy your reports but all of the comments. Thanks and keep up the good work.

Anonymous said...

I must admit I just learned about you and your gold and silver reports from a friend that lives out of state. Once I started reading them I am hooked. I have always believed the market manipulation of gold and silver were suspect but had few people that were "onto" this to talk to. Now, I not only enjoy your reports but all of the comments. Thanks and keep up the good work.

Anonymous said...

Harvey, do not let the frustration get you down, Looks to me as if the battle is getting heated and they are merely throwing more grenades at the approaching army, out of desperation. As the scripture says, "If the foot soldiers have wearied you, what will you do when the horsmen arrive?". If what the majority of us believe that the thieves are being manipulative, it will come out, and we must have confidence in ourselves, and patience. Always remember though in order to CONTROL a market you have to be influential on both sides, i.e. the "buy" and "sell."

Anonymous said...

The snake is getting "charmed" from it's den.... and soon the head will be discovered.

Barbara Lee said...

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