Which picture of my yard do you think was snapped today?-Lou
KWN interviews Chris Powell from The GATA and he explains how Central Banks (The Fed) control all financial markets.-Lou
From King World News
Is This The Most Terrifying Interview Of 2015?
With so much chaos taking place around the world, today a man who has been focused on uncovering sensitive government and market information for over 15 years gave what is perhaps the most terrifying interview of 2015. What he had to say will shock King World News readers around the globe.
Is This What The World Has Come To?
Eric King: “Chris, today we are going to take a trip down the rabbit hole of Western governments moves toward a frightening control of everything on the planet, including all financial markets. Let’s start with this note from the Bill King Report commenting on the Wall Street Journal article “U.S. Investigates at Least 10 Major Banks for Possible Rigging of Precious-Metals Markets”
Bill King Report: “A similar investigation of the manipulation of the gold market by European banks was quietly squashed. It’s reasonable to surmise that investigators quickly discovered that the biggest banks were often doing the bidding for central banks to keep excess liquidity flowing into financial assets instead of gold. Surging precious metal prices, like in 2011, could induce investors to eschew financial assets for metals. This is what occurred in the late 1970s, and it could usurp central banks’ and sovereigns’ plans to inflate away unserviceable debt.”
Trip Down The Rabbit Hole
Eric King: “Let’s take that trip down the rabbit hole now, Chris.”
Chris Powell: “These investigations will never get anywhere and have never gotten anywhere because all these investigators are going to find out very quickly that the investment banks that are manipulating the monetary metals markets and other major markets are doing it as the agents of Western central banks. They are the intermediaries for Western central banks….
Market-Rigging And Manipulation Legal In The U.S.
This market-rigging is fully authorized by law here in the United States. The Gold Reserve Act of 1934, as amended in the 1970s, specifically authorizes the U.S. Treasury Department — through the Exchange Stabilization Fund — to intervene secretly in and rig not only the gold market, which was the original authorization, but as amended in the 1970s the ESF is authorized to rig any market — any and all financial instruments.
The government guys figured this out a long time ago. They got themselves authorized by law to secretly intervene in any market and to rig any market. That is why these investigations never get anywhere because the positions in the futures markets that are so manipulative are central bank positions being implemented through intermediaries to keep central bank fingerprints off the rigging.
“This Is The Government’s Activity, Not Ours”
The investment banks can just tell the investigators, ‘This is not our own account. This is a client’s account and the client is the government and the government is fully authorized to rig all markets in secret.’
Other Western Countries In On The Fix
Other nations have similar devices. In the United Kingdom they have what is called The Exchange Equalization Account, which is a fund run by the Bank of England. Also, a year ago the Director of Market Operations of the Banque de France, Alexandre Gautier, made a presentation to the London Bullion Market Association (LBMA) meeting in Rome and said that the Banque de France is trading gold for its own account and for the accounts of other central banks nearly on a daily basis.
IRS defends paying refunds to illegals who never filed taxes
Listen to this week’s “The Financial Physician” radio show. Today I discuss trusts and long term care issues-Lou
Click on the upper right corner PLAY arrow on player as the middle PLAY arrow is not working.
This is what gold does in a fiat-currency crisis. Ukraine’s currency is in free fall and citizens are doing what they always have done when the country’s currency collapses..they run to precious metals to preserve wealth. This is what gold in U.S. dollar terms will look like when the U.S. currency hits the skids. Got Gold?-Lou
This article and the one that follows only validate the things that I have been informing you of for many years. These are financial crimes of the highest magnitude and nobody ever goes to jail.-Lou
Ten Banks, Including JPM, Goldman, Deutsche, Barclays, SocGen And UBS, Probed For Gold Rigging
No matter how many times the big banks are caught red-handed manipulating precious metals, some failed former Deutsche Bank prop-trader (you know who you are) will take a vociferous stand based on ad hominem attacks and zero facts that no, what you see in front of you is not precious metal rigging at all but a one-off event that has nothing to do with a criminal banking syndicate hell bent on taking advantage of anyone who is naive and dumb enough to still believe in fair and efficient markets.
The last time this happened was in November when we learned that “UBS Settles Over Gold Rigging, Many More Banks To Follow“, and sure enough many more banks did follow, because in Europe, where the stench of gold market manipulation stretches far beyond merely commercial banks, and rises through the central banks, namely the BOE and ECB, culminating with the Head of Foreign Exchange & Gold at the BIS itself, all such allegations have to be promptly settled or else the discovery that the manipulation cartel in Europe involves absolutely everybody will shock and stun the world, which heretofore was led to believe that such things as gold market (not to be confused with Libor or FX) manipulation only exist in the paranoid delusions of a few tinfoil fringe-blogging lunatics.
However, as usually happens, someone always fails to read the memo that when it comes to gold-market manipulation one must i) find nothing at all incriminating if one is a paid spokesman for the entities doing the manipulation such as former CFTC-sellout Bart Chilton or ii) if one can’t cover it, then one must settle immediately or else the chain of revelations will implication everyone.
This time, that someone is the US Department of Justice, which as the WSJ just reported, is investigating at least 10 major banks for possible rigging of precious-metals markets. The DOJ is shockingly doing so “even though European regulators dropped a similar probe after finding no evidence of wrongdoing, according to people close to the inquiries.” Of course, the reason why said probe was dropped in Europe is because it would have implicated virtually the entire trading desk at the biggest and most important European bank: Deustche Bank, as well as the biggest bank in Switzerland, UBS and UK’s own Barclays, reveal a manipulation cartel rivaling even that of Libor. And once traders at the commercial banks turned sides and squealed for the prosection, well then it would be the central banks’ turn next. Which is why it was imperative to bring this investigation to a quiet end.
But not in the US.
According to the WSJ, “prosecutors in the Justice Department’s antitrust division are scrutinizing the price-setting process for gold, silver, platinum and palladium in London, while the Commodity Futures Trading Commission has opened a civil investigation, these people said. The agencies have made initial requests for information, including a subpoena from the CFTC to HSBC Holdings PLC related to precious-metals trading, the bank said in its annual report Monday.
HSBC also said the Justice Department sought documents related to the antitrust investigation in November. The two probes “are at an early stage,” the bank added, saying it is cooperating with U.S. regulators.
Who is involved in this latest gold-rigging scandal? Why everyone! … which makes it immediately obvious why the European regulator had to promptly cover up the whole affair. Under scrutiny are Bank of Nova Scotia , Barclays PLC, Credit Suisse Group AG , Deutsche Bank AG , Goldman Sachs Group Inc., J.P. Morgan Chase & Co., Société Générale SA, Standard Bank Group Ltd. and UBS AG , according to one of the people close to the investigation.
Robert Hockett, a law professor at Cornell University, said it is “not particularly surprising” that the Justice Department is plowing ahead despite the decision by European regulators. Recent scrutiny of big banks’ operations in the physical commodities markets and criticism of the Justice Department’s financial-crisis track record make it “quite understandable” that the agency would investigate allegations of precious metals price-rigging.
Last year, the FCA fined Barclays £26 million ($40.2 million) for lax controls after one of its traders allegedly manipulated the gold fix at the expense of a client.
Swiss regulator Finma settled last year allegations of foreign-currency manipulation with UBS. The regulator said it found “serious misconduct” among precious-metals traders at UBS, including “front running,” or trading ahead of, the silver-fix orders of one client. A spokeswoman for UBS, which said at the time that it “instituted significant cultural and compliance changes,” declined further comment.
Very interesting and true.-Lou
Ex-Plunge Protection Team Whistleblower: “Governments Control Markets, There Is No Price Discovery Anymore”
One year after the great stock market crash in 1987, US President Ronald Reagan launched the “Working Group on Financial Markets.” Conspiracy theorists believe, however, that the real task of this committee is to protect against a renewed slump in the stock market. In the jargon of Wall Street, the working group is known as the “Plunge Protection Team.”
One glimpse at a few days suring 2007/8 and it is clear that ‘someone’ with infinitely deep pockets was able to support markets on several critical days – though, of course, anyone proclaiming intervention was propagandized away as a conspiracy theory wonk. However, as Dr. Pippa Malmgren – a former member of the U.S. President’s Working Group on Financial Markets – it is not conspiracy theory, it is conspiracy fact: “there’s no price discovery anymore by the market… governments impose prices on the market.”
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In this 38 minute interview Lars Schall, for Matterhorn Asset Management, speaks with Dr Pippa Malmgren, a US financial advisor and policy expert based in London. Dr Malmgren has been a member of the U.S. President’s Working Group on Financial Markets (a.k.a. the “Plunge Protection Team”). They address, inter alia:
It is only a matter of time. One of my elderly clients just called to invest in the SP 500….it must be close to the top.-Lou
Federal Reserve Insider Alan Greenspan Warns: There Will Be a “Significant Market Event… Something Big Is Going To Happen.
With the Federal Reserve printing trillions upon trillions of dollars to keep the economic system afloat, many investors and financial pundits have surmised that the fundamental economic problems facing the United States during the crash of 2008 have been resolved. Stocks are, after all, at historic highs. But the insiders know different. And if there’s any single person out there who understands U.S. monetary policy and its long-term effects on domestic and global affairs it’s former Federal Reserve chairman Alan Greenspan. As the head of the world’s most powerful central bank for nearly two decades he’s privy to the insider conversations and government machinations that have brought us to where we are today. Greenspan recently joined veteran resource analyst Brien Lundin at the New Orleans Investment Conference to share some of his thoughts. According to Lundin, the former Fed chairman made it clear that the central bank is facing a serious problem and one that will have significant ramifications in the future.
We asked him where he thought the gold price will be in five years and he said “measurably higher.” In private conversation I asked him about the outstanding debts… and that the debt load in the U.S. had gotten so great that there has to be some monetary depreciation. Specially he said that the era of quantitative easing and zero-interest rate policies by the Fed… we really cannot exit this without some significant market event… By that I interpret it being either a stock market crash or a prolonged recession, which would then engender another round of monetary reflation by the Fed. He thinks something big is going to happen that we can’t get out of this era of money printing without some repercussions – and pretty severe ones – that gold will benefit from.
If we are in fact staring a major market event in the face as Alan Greenspan proposes then wealth preservation should be a key tenet of any preparedness strategy going forward. Greenspan himself, somewhat ironically, was a gold bug and proponent of sound money prior to his appointment as the chairman of the Fed. And though he didn’t discuss it much during his tenure, he is now actively saying that we can expect to see gold markedly higher within the next five years. His assessment is likely based on concerns over the U.S. dollar which will, as Lundin notes, more than likely suffer a currency devaluation at some point in the future.
The end has to come at some point… If you look at a chart of the U.S. dollar index it has gone nearly parabolic in the last few months… In any market that is so one sided, that is accelerating so rapidly, that trend will end… it will most likely end in a fairly violent fashion.
And if gold rises as a result, so too will other resource assets in the energy and mining sectors. What it boils down to is that the assets that are necessary to keep our system operating will always have value, and that is especially true in a situation where the U.S. dollar happens to be crashing. Uranium , for example, powers one in five American homes, which means that it will always be a necessary resource, regardless of what the dollar does or doesn’t do. Lundin’s assessment is echoed by Uranium Energy Corp CEO Amir Adnani, who recently said we may well see a “resurgence” in the price of this and natural resources like gold. More…
The move away from the US dollar is accelerating.-Lou
Back in December, Socgen spread a rumor that Russia has begun selling its gold. Subsequent IMF data showed that not only was this not correct, Russia in fact added to its gold holdings. But there was one thing it was selling: some $22 billion in US Treasurys, a record 20% of its total holdings, bringing its US paper inventory to just $86 billion in December – the lowest since June 2008.
It wasn’t just Russia: the country that has ever more frequently been said to be in the same camp as Russia – and against the US – namely China, also sold another $6 billion in Treasurys in the last month of 2014, which would have made its US treasury holdings equal with those of Japan, if only Tokyo hadn’t also sold over $10 billion in the same month.
And while we know that Russia used at least some of the proceeds to buy gold, the bigger question is: just what is China buying with all these stealthy USD-denominated liquidations, and how much gold does the PBOC really have as of this moment.