Tag - Manipulation
Wednesday, June 27 2018
By GCRU Gold News on Wednesday, June 27 2018, 06:01
One of the more interesting developments in the gold mining sector at the moment is the impending launch of an investor alliance called the Shareholders Gold Council (SGC) whose objectives focus on reversing the poor shareholder returns and underperformance that has been dogging the sector’s leading gold mining stocks for some time now.
The Shareholders Gold Council, which on paper will have immense research resources and firepower and influence, will not it seems devote any time or resources to questioning anything to do with the gold price and will just take it a a given. This to me is a completely lost opportunity given that there is ample material for analysis in this area, some of which would surprise institutional and hedge fund investors in the gold space if they bothered to look. Much of this material has been documented on this website and elsewhere, such as by GATA.
Saturday, June 23 2018
By GCRU Gold News on Saturday, June 23 2018, 02:06
Why is this important? Because despite what everyone tells you to the contrary, markets are controlled, and Gold and Silver in particular. Technicals, sentiment, and positioning are important tools, but you need to be aware of the risk of manipulation undermining the message these tools are telling you.
So why bother with such tools at all? Why buy Gold or Silver? The banks use the same tools we do to determine when to force prices lower, which is why their behavior is predictable. Second, manipulation has an expiration date, as demonstrated in the 2000s and 1970s in particular. They cannot stop metal prices going up forever, and you want to be around for when Gold and Silver soar next. They are the most undervalued assets out there today. Plus, I follow the smart money. And China, Russia, and JP Morgan have been loading up on physical metals for years now. Central banks around the world are also repatriating their Gold from the U.S. in preparation for some major event to come. I want to be long, too, when that event occurs.
In summary, manipulation in metals is undeniable. It has become so chronic that it is now obvious and therefore predictable. Unfortunately, it can temporarily undermine or render traditional analytical tools as useless. You need to be aware of this to protect yourself when it is about to happen again, because it will.
Tuesday, May 15 2018
By GCRU Gold News on Tuesday, May 15 2018, 06:33
In his latest book, "The New Case for Gold," fund manager, geopolitical analyst, and financial letter writer James G. Rickards may have summarized the international gold price suppression scheme better than anyone, including GATA itself.
Wednesday, April 25 2018
By GCRU Gold News on Wednesday, April 25 2018, 23:56
A former UBS Group AG precious metals trader was found not guilty on Wednesday of scheming to manipulate futures markets through a practice known as spoofing.
The former trader initially faced six additional charges of commodities fraud and substantive spoofing, but those counts were thrown out by U.S. District Judge Jeffrey Meyer, who found they should’ve been brought in Chicago where the alleged illegal trades were executed.
Tuesday, April 17 2018
By GCRU Gold News on Tuesday, April 17 2018, 00:35
In a strange twist of events, the judge presiding over a criminal trial involving allegations of spoofing in US gold and silver futures against a Swiss trader commencing in Connecticut this week, has charged the Government with “manipulation”, and thrown out a Department of Justice request to have indictments broadened against the trader to include specifically, manipulation.
By GCRU Gold News on Tuesday, April 17 2018, 00:30
Prosecuting banks and traders for price manipulation on COMEX futures while ignoring the far larger London market and its gold and silver fixings looks like a job half done. Trading desks and their traders are agnostic to trading venues and with interlinked markets, the COMEX and the London Fixings are two sides of the same coin.
With blatant evidence that the same banks and traders were involved in both markets, and with actual chat room transcripts now confirming that precious metals traders across multiple banks were colluding in fixing price manipulation, then why are their no active regulatory investigations of trader manipulation of the London Gold and Silver Fixings?
Is it because of lack of jurisdictional authority or are the regulators and criminal enforcement agencies such as the FCA, DoJ, FINMA and the German BAFIN too terrified of opening a can of worms into the huge liabilities that would arise from proving a decade long criminal manipulation of the London Gold and Silver price benchmarks and that were used throughout the world the value everything from ISDA contracts to institutional precious metals products, to ETFs.
Tuesday, April 10 2018
By GCRU Gold News on Tuesday, April 10 2018, 07:17
Please be aware the following article has been partially retracted: "US gold and silver futures markets "easy" target."
This article has been retracted to correct relevant details regarding Andre Flotron who will appear next week in a criminal trial in CT, USA.
Thursday, April 5 2018
By GCRU Gold News on Thursday, April 5 2018, 07:03
Following news of the charging of five precious metals traders and three banks in January, Commodities Futures Trading Commission and Department of Justice documents reveal a global criminal cabal of 16 traders operating in at least four major financial institutions between 2008 and 2015 to defraud COMEX gold and silver futures markets.
Sunday, March 18 2018
By GCRU Gold News on Sunday, March 18 2018, 23:19
Central banks have a long and colorful history of manipulating the gold price. This manipulation has taken many shapes and forms over the years. It also shouldn't be surprising that central banks intervene in the gold market given that they also intervene in all other financial markets. It would be naive to think that the gold market should be any different.
Monday, March 5 2018
By GCRU Gold News on Monday, March 5 2018, 04:43
How central banks' use gold lending to manipulate their balance sheets, and also to manipulate the broader market for precious metals by sheer dint of their size, and willingness to buy and sell without any consideration for the price.
Monday, January 29 2018
By GCRU Gold News on Monday, January 29 2018, 23:15
Deutsche Bank and UBS have agreed to pay $30 million and $15 million respectively to settle the civil charges in the case, while HSBC will pay $1.6 million, the CFTC said.
All three banks received reduced penalties from the CFTC for providing significant assistance in the investigations, which relate to activity that dates back as far as 2008. UBS self-reported the alleged misconduct by its traders to the regulator, the CFTC said.
The alleged activity saw manipulation of a range of precious metals contracts, including in gold, silver, platinum or palladium futures, as well as in S&P E-mini futures.
By GCRU Gold News on Monday, January 29 2018, 22:42
DB, HSBC & UBS all guilty of manipulating PM prices.
What has been claimed & denied by many has now become truth....
Friday, January 26 2018
By GCRU Gold News on Friday, January 26 2018, 01:29
German philosopher Arthur Schopenhauer said that “All truth passes through three stages: First it is ridiculed. Second, it is violently opposed. Third, it is accepted as self-evident.”
The manipulation of the gold price has moved close to the third stage, as recent class action lawsuits for over $1 billion have been filed in New York and Toronto against six major bullion banks and have been approved to proceed. Another class action lawsuit is being formed in London.
These lawsuits will have a major impact on gold as the paper price diverges from the physical price.
Saturday, November 11 2017
By GCRU Gold News on Saturday, November 11 2017, 00:14
Trades that moved about 4 million ounces of gold in a matter of minutes awakened the precious metal from its slumber.
After 11:10 a.m. on the Comex in New York almost 40,000 contracts, each representing 100 ounces of the metal, traded in a span of 10 minutes. That triggered a sell-off, sending prices down as much as 1.1 percent.
Saturday, September 23 2017
By GCRU Gold News on Saturday, September 23 2017, 01:21
Andre Flotron, formerly a senior precious metals trader with UBS, was arrested in New Jersey last week by the US Department of Justice (DoJ). The DoJ has charged Flotron with spoofing gold futures on the CME (COMEX) from July 2008 until November 2013.
A junior trader, who agreed to cooperate with the US government in return for avoiding criminal prosecution, told the DoJ that Flotron demonstrated how to spoof gold futures in July 2008 as preparation for the witness moving to the UBS precious metals desk in Singapore.
Thursday, September 14 2017
By GCRU Gold News on Thursday, September 14 2017, 00:19
A former trader at UBS Group AG was charged with conspiracy and fraud over his suspected role in manipulating the price of precious metals.
Andre Flotron, who worked at the bank in Switzerland and Stamford, Connecticut, is the second person publicly charged in the U.S. investigation into the fixing of gold, silver, platinum and palladium prices. Flotron, a Swiss citizen, was arrested while visiting his girlfriend in New Jersey. He was charged with conspiracy, wire fraud, commodities fraud and spoofing. He faces as many as 25 years in prison on the most serious charge.
Friday, September 8 2017
By GCRU Gold News on Friday, September 8 2017, 06:43
Now I must ponder/wonder how those people who sold million/billions short when gold was breaking out.??
It happened twice where it looked like abject manipulation on Aug 18th & Aug 25th - both Fridays - both at similar times of the day.
I must ask them or the entities they represented (as no sane trader or poor person would be worth asking)
Did you get value for your money when you blew it away?
Thursday, August 3 2017
By GCRU Gold News on Thursday, August 3 2017, 01:47
However, it was the precious metals 'markets' that went a little turbo. At 1906ET, Silver futures flash-smashed higher, running the day's high-stops, before plunging back to earth...
This would normally be shrugged off as just another example of the utter farce that global capital markets have become. However, a glance back in recent history at the silver market's most recent chaos moment - on July 6th - and a 'funny' thing stood out!!!
Saturday, July 8 2017
By GCRU Gold News on Saturday, July 8 2017, 23:14
The answer is that there really is no true market for gold, just a rigged game consisting of physical gold and paper gold trading side by side as if they were one and the same.
In some ways, this doesn’t matter, because regulators have shown no appetite to enforce the law. The message to manipulators is that this is a big boy’s market and players can do whatever they want as long as it’s not too blatant.
More broadly, where does the price of gold go from here?
By GCRU Gold News on Saturday, July 8 2017, 23:10
“All fundamental factors aside, it does tremendous technical damage to the market,”
“There should be some effort to study this and come to some solution that will make for a more orderly trading pattern. This type of activity is not good for a fair playing field.”
The precious metal struggled to bounce back from its low on June 26 because the transaction pushed the price below the 200-day moving average, triggering automated sell orders set by algorithmic traders, thereby sustaining the slump.