Embry - Market Manipulation More Blatant & There’s More of It

"With shares of Apple soaring, stocks trading higher and gold near the $1,640 level, today King World News interviewed John Embry, Chief Investment Strategist of the $10 billion strong Sprott Asset Management.  Embry told KWN the key economic release in the US today was materially worse than expected.  Embry also discussed gold and the mining shares, but first, here is what Embry had to say about the deteriorating situation in the United States:  “It was a surprise to the experts who had forecast this (durable goods orders) because it was materially worse than the Wall Street projections, which were estimated to be down 1.7%, and they were (actually) down 4.2%.  This is the largest decline since January of 2009.”


at http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/4/25_Embry_-_Market_Manipulation_More_Blatant_%26_Theres_More_of_It.html

Currency Wars: Rickards On Gold, QE, and the Economy

"Jim Rickards is interviewed by FutureMoneyTrends.com. 


Part 1 is focused on Gold manipulation and why gold plays such an important role in the world, even if conventional wisdom doesn't believe so, gold is not only being watched by central bankers, as Mr. Rickards put, "the gold price is being managed."

Part 2 expands into the economy and probability of more quantitative easing (QE). According to Mr. Rickards, QE will come in the next few months because it can't be done this fall since it will look political, and if the FED tries to wait until December, it will be too late..."


at http://jessescrossroadscafe.blogspot.com/2012/04/jim-rickards-is-interviewed-by.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+JessesCafeAmericain+%28Jesse%27s+Caf%C3%A9+Am%C3%A9ricain%29

The Weekly Dose of Gold & Silver Market Manipulation

"This strange event happened this past Tuesday in the COMEX New York markets but I didn’t have time to post it until now. Not much to add here in the commentary that the pictures don’t say themselves, except that market prices of two different assets do not plunge in tandem by 1.2% within a matter of half-an-hour or so at precisely the same time and then gain everything back in the next two hours if their prices are set by free and fair markets. In regard to the buzz on the blogosphere this week regarding rebuttals to gold and silver market manipulator deniers, I believe that a lot of gold/silver analysts that deny gold/silver market manipulation actually believe, and firmly believe, that the gold/silver markets are manipulated. How can you not believe, given the numerous instances of tens, and sometimes, hundreds of millions of paper silver (and paper gold) ounces dumped in the futures markets immediately before intra-day crashes in price that occur on a nearly weekly basis now? In the face of all the evidence, including documented minutes of the US Federal Reserve that actually admit to gold/silver market rigging (just refer to any of a number of GATA publications), the gold/silver analysts that continue to deny market rigging would:..."

at  http://www.theundergroundinvestor.com/2012/04/the-weekly-dose-of-gold-silver-market-manipulation/

Silver Shield’s Complete Silver Manipulation Documentation

at http://ausbullion.blogspot.com/2012/04/silver-shields-complete-silver.html

Jim Sinclair - Expect Another $17 Trillion of QE & War in Gold

"On the heels of the Fed members commenting publicly, legendary trader and investor, Jim Sinclair, told King World News that even though we have already seen $17 trillion of money printing, we should expect another $17 trillion going forward. KWN also asked Sinclair how he knew, from the beginning, that there would be ‘QE to infinity,’ before anyone else. But first, here is what Sinclair had to say about the action in gold: “$1,650 is a comfortable number (for central planners). Haven’t you seen the tremendous jawboning and market intervention to hold gold in that range at $1,650? $1,764 and they lose control. That begins the move which is exponential.”

Jim Sinclair continues:

“It’s a formidable challenge (keeping gold below $1,800). The true range of gold is $1,700 to $2,111, but these guys are going to try to fight it like nobody’s business. Do you think for a moment they are not listening to you and I speaking right now? Forget it, Eric, we are the morning ‘Squawk Box’ tomorrow.

Now comes the payback. The hope and desire that things would improve is ignorant because of the fact that the trillions which have come in have been to save the financial organizations, not Main Street..."

at http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/4/13_Jim_Sinclair_-_Expect_Another_$17_Trillion_of_QE_%26_War_in_Gold.html

Caesar Bryan - Suspicious $1.5 Billion Gold Dump & Bank Runs

"With continued volatility in gold and silver, today King World News interviewed 25 year veteran Caesar Bryan. Gabelli & Company has over $31 billion under management and Caesar Bryan has managed the gold fund since its inception in 1994. Caesar told KWN the European banking system is stil on fire, and we are now seeing bank runs in both Spain and Italy. He also stated that today’s trading at the end of the day in gold was very “odd.” Here is what Caesar had to say about the situation: “We had been having a recovery in the price of gold recently, but then gold was taken down around 1:15 pm today. There was quite significant volume in the last 15 minutes, before the COMEX closed.”

Caesar Bryan continues:

“There were 10,000 contracts traded, which is something like $1.5 billion, and gold fell precipitously, from about $1,665 to about $1,650. This is very odd trading on a Friday afternoon when there was no other discernible movement in other markets.

This made for a disappointing end to the week, but the backdrop for gold is still very solid. However, for investors, it’s hard to ignore the day-to-day movements.

As you know, we have been talking about what is going on in Europe. The latest news is that tension remains high in places like Spain..."

at http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/4/13_Caesar_Bryan_-_Suspicious_$1.5_Billion_Gold_Dump_%26_Bank_Runs.html

London Trader - Fed’s Global War Against Gold Escalating

"With many global investors still rattled by the price action of gold and silver, today King World News interviewed the “London Trader” to get his take on these markets. Here is what the source had to say: “Gold was trashed on Monday, while the Fed minutes essentially said nothing. When a central bank coordinates that kind of attack, it’s war, of course it’s war. This type of action is coordinated by Bernanke and the Fed and executed by the bullion banks. It’s actually laughable if anyone thinks that was a legitimate selloff, on what was, in reality, no news.”

The London Trader continues:

“No legitimate market participants were really selling. Sure there were some stops that were taken out, but it was the bullion banks that came in with their selling and this was what suddenly created the air pockets.

There is massive sovereign physical buying going on right now. Interestingly, the sovereign buying is being swamped by paper selling. Sovereign buyers are aggressively buying tonnage every day at these levels. You have to remember their goal is to pick up physical and get rid of dollars. Nothing has changed. 

Interestingly, the Asian buyers have figured out the algorithms, like breaking an enemy’s code in war, and they are using the algorithmic trading to get the best prices each day for physical gold at these levels. The trading is just taking place at lower levels because these bullion banks and the Fed, which manage the price of gold, get overzealous in their price fixing.

But there will be a huge price to pay for their activity..."

at http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/4/5_London_Trader_-_Feds_Global_War_Against_Gold_Escalating.html

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Embry: Gartman Inept, CNBC Wrong, Gold Demand off the Hook

"With tremendous volatility in gold and silver, and oil holding well above the $103 level, King World News interviewed John Embry, Chief Investment Strategist of the $10 billion strong Sprott Asset Management. Embry told KWN that bullion dealers are telling him phones are ring off the hook and demand is incredible..."

at http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/4/6_Embry__Gartman_Inept,_CNBC_Wrong,_Gold_Demand_off_the_Hook.html

READ MORE 

Gold paper to physical ratio is a stunning 100:1, 2012 will be the year of delivery

"If gold traders of the futures markets need any more convincing to invest in physical gold, Ned Naylor-Leyland has one- the paper to physical ratio. Simply put- the number of open positions for just 1 bar of gold.
Ned Naylor-Leyland is the investment director at Cheviot Asset Management

In an interview with CNBC, Ned says that there is about a 100 open positions in the gold paper market for just 1 bar of physical gold. “The numbers are pretty frightening”.

This means that there are a 100 people who have electronically “bought” gold but there is just 1 bar of gold. Need any more reason to switch to physical.

Ned goes on to add that he believes 2012 will be the year of delivery. As people start to realize the importance of owning gold, more and more investors will put their money in the physical gold.

When asked about if he thinks the gold market is manipulated, Ned states that he believes the gold market is rigged and that investors are currently running scared from the paper markets after the MF Global fiasco resulted in millions of dollars of client assets vanishing into the unknown."

at http://www.commodityonline.com/news/gold-paper-to-physical-ratio-is-a-stunning-1001-2012-will-be-the-year-of-delivery-44631-3-44632.html

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Chris Martenson Interviews Charles Biderman: The Problem With Rigged Markets

"Charles Biderman: The Problem With Rigged Markets

"Even Wile E. Coyote had to come back down to earth sooner or later", says Charles Biderman, founder of TrimTabs Investment Research. In his opinion, the prices of stocks and bonds - enabled by excessive financialization of our economy and central bank money printing - have been defying gravity for a dangerously long time.

If we continue to do all we can to preserve the status quo -- to maintain "phony" asset price levels as Charles calls them -- at best we will restrict overall growth and handicap the economy.

The problem isn't so much the unfairness and malinvestment evident in a rigged market. As Charles shrewdly asks: what happens when the market becomes un-rigged?

We've never experienced the unwinding of an entirely manipulated financial system, so we can't predict for sure. But at this point, a painful collapse of our markets and loss of the US dollar as the world's reserve currency seem entirely plausible.

On Market Manipulation

The market is rigged. In January of ’10, I went on CNBC and on Bloomberg and said that there is no money coming into stocks, and yet the stock market keeps going up. The law of supply and demand still exists and for stock prices to go up, there has to be more money buying those shares. There is no other way in aggregate that that could happen..."

at  http://www.zerohedge.com/news/chris-martenson-interviews-charles-biderman-problem-rigged-markets

Read more

Financial black swans driven by ultrafast machine ecology

"ABSTRACT

Society’s drive toward ever faster socio-technical systems, means that there is an urgent need to understand the threat from ‘black swan’ extreme events that might emerge4-19. On 6 May 2010, it took just five minutes for a spontaneous mix of human and machine interactions in the global trading cyberspace to generate an unprecedented system-wide Flash Crash4. However, little is known about what lies ahead in the crucial sub-second regime where humans become unable to respond or intervene sufficiently quickly20,21. Here we analyze a set of 18,520 ultrafast black swan events that we have uncovered in stock-price movements between 2006 and 2011. We provide empirical evidence for, and an accompanying theory of, an abrupt system-wide transition from a mixed human-machine phase to a new all-machine phase characterized by frequent black swan events with ultrafast durations (<650ms for crashes, <950ms for spikes). Our theory quantifies the systemic fluctuations in these two distinct phases in terms of the diversity of the system’s internal ecology and the amount of global information being processed. Our finding that the ten most susceptible entities are major international banks, hints at a hidden relationship between these ultrafast ‘fractures’ and the slow ‘breaking’ of the global financial system post-2006. More generally, our work provides tools to help predict and mitigate the systemic risk developing in any complex socio-technical system that attempts to operate at, or beyond, the limits of human response times..."

at http://arxiv.org/ftp/arxiv/papers/1202/1202.1448.pdf

Silver Manipulation Caught in the Act; HFT Swamps NASDAQ with 75K SLV Sell Orders Per Second

"Ironically, just days after noted analyst Ted Butler came on the show to explain how silver and other markets are manipulated through the use of high frequency trading, the real-time data feed company, Nanex, showed how the silver ETF (SLV) was forced downwards by a rapid number of machine-generated quotes exceeding a rate of 75,000 per second. Before you start to think that this was merely a bunch of people hitting the sell button all at once, consider this: They were all launched within the space of 25 milliseconds—ten times faster than you and I can blink!

Here’s a chart of the second by second market activity in SLV where you can see the massive lightning-quick spike occurring at 13:22:33.

Source: Nanex

Ted Butler Explains the Whole Process

"What's happening is that these commercials [or large traders], through HFT, can set the price suddenly down. It didn’t go down because there was massive selling from the commercials, they just set the price down. They know how to do it with their computers by putting in actual orders, and faking it, and spoofing, canceling them right away; but what happens is when the price moves down then the selling comes, which is the intended effect and result. Commercials basically put the price down in order to set off stops because everybody seems to be some type of technical trader in the market that reacts to prices."

(Click here for interview and full transcript)

Of course, this isn't just limited to the extremely emotional gold and silver markets. A new study released last month, Financial Black Swans Driven by Ultrafast Machine Ecology, looked at 600 different markets around the world and found that these sort of events happen routinely. Over the most recent five years of market data analyzed, 18,520 crashes and spikes occurred at a speed far exceeding human origin.

Making Money from Human Emotion

So what is going on here you might ask? Like the premise of Robert Harris' new fictional sci-fi thriller, The Fear Index, it appears that mathematicians have figured out a way to make money off human emotion. Then again, this really isn't anything new. One very old trick for doing this, as Ted Butler mentions, is by triggering sell-stops. As it turns out, millions of investors around the world reveal their emotional tolerance for how far a stock can vary before automatically buying or selling at a set price. With access to such highly valuable information, one could make a killing by simply preying on the emotional levels of human greed and fear revealed by investors tipping their hand, so to speak, to the market. Of course, analyzing such data with pattern recognition software has advanced light-years since stop-losses were born. That's kindergarten compared to what they're doing now.
As Robert Harris says regarding the technology he imagined, "What they've done in my book is developed an algorithm that can predict the markets by analyzing the incidence of fear related words on the internet—trends on Facebook, Twitter—a sense of the mood. I thought I was making this all up but, of course, I then discovered this is yesterday's news—they've been doing this for years! There's nothing you can invent that these guys, very clever, haven't thought up before you."

at http://www.financialsense.com/contributors/cris-sheridan/silver-manipulation-caught-in-the-act-hft-nasdaq-slv

The Bull Market in Gold and Silver Prevails

"We have been in and around the gold markets for 53 years and conditions have certainly changed, driven mainly by market manipulation of all markets as a result of the Executive Order, which created the “President’s Working Group on Financial Markets.” Those who doubt that are either on the government payroll one way or the other, or you are just too dumb to understand what is really going on. In spite of these machinations and ignorant naysayers the bull markets in gold and silver are still alive and well. What you are seeing are paper markets and the use of derivatives to effect short-term pricing, especially when negative events are about to occur. Those events are aided by naked shorting and illegal concentration in both gold and silver and the shares. Mind you, this is being done in a market to control it and in addition government and central banks relish stomping gold and silver into the ground. For years they hid what they were doing. Today their manipulations are in your face. These dramatic forced price falls are fortunately accompanied by heavy buying by China, Russia, India and others. All the elitists are doing is giving long-term investors an opportunity to purchase both metals at prices far below their real value. Official government inflation figures say gold should be selling at about $2,500 an ounce. Real inflation statistics would have gold selling today at almost $9,000. Such deliberate under pricing is accompanied by financial chaos in Europe and England, high oil prices that reflect the possibility of conflict in the Middle East, the results of $1.4 trillion in loans to 800 European banks, England on the edge of bankruptcy and the continual quantitative easing and things such as Operation Twist by the Federal Reserve. The official government line on statistics is all lies. We see one research report after another pandering to these falsities, which is next to worthless. The professionals and investors continue to use these bogus figures and continue to lose money in the process..."

at   http://www.globalresearch.ca/index.php?context=va&aid=29885

From The Archives - Bunker Hunt And 'Silver Thursday'

"Back in May of last year, just after the now historic silver slamdown of "Silver Sunday" on May 1, 2011, when the metal imploded by nearly 20% in the span of seconds, a move that some considered 'normal', primarily the CFTC, we presented the extended biopic of the infamous "Silverfinger": Bunker Hunt, who attempted to corner the silver market, and succeeded, if only briefly. Today, courtesy of Grant Williams, we have dredged up the following clip from the archives, which is a 10 minute overview of just how there is really nothing new ever in the silver market, bringing up memories of Silver Thursday, March 27, 1980, and raising questions whether last year the move in precious metals was not due to the same attempt to corner the silver and gold markets as happened 30 years prior. A far more important question perhaps is how was it that tried a redux of the Hunt brothers (and Warren Buffett of course), and when will someone take their place next?

And for those who may not have seen it the first time around, here is a repost of our original article from April 2010, "A Deep Insider's Walkthru To Silver Market Manipulation"

A second whistleblower speaks. As the topic of physical delivery has gained prominent attention recently, it is crucial to complete the circle and show how this weakest link in the PM market is (ab)used by the big boys: Phibro and Warren Buffet. Pay particular attention to the analogues between the methods employed in the 90's commodity market and how the PM (and equity) market is being gamed currently. And to think that each new generation of traders believes it has discovered something new..."

at http://www.zerohedge.com/news/archives-bunker-hunt-and-silver-thursday