Gold Breakout: COMEX Gold Warehouse Registered Gold Inventory at 93 to 1 GLD, MUX, TNR.v, GDX

  Jesse reports the new all-time-high leverage at the COMEX with 93 owners for every ounce of Gold. Everything is primed for the fireworks in Gold now. After today's huge miss in Jobs numbers Gold is breaking out to the upside. Move above $1250 will make shorts to cover and we need to go over $1270  to confirm the double bottom formed at $1180 levels in 2013 now.

Glenn Beck: Where Is German Gold? GLD, TNR.v, MUX, GDX

"Glenn Beck is digging up the mystery of German Gold repatriation. With the reports that even small amount of the delivered Gold so far was melted beforehand we can be sure that there is no more original German Gold left. As we have discussed before, theGold smashing down has started with Venezuela's request for Gold to be returned back and last year Gold's bloodbath was assured with Germany seeking for its Gold to be returned as well."

Jesse's Cafe Americain:

Comex Warehouse Registered Gold Inventory at 93 to 1

Getting a bit thin.

As a reminder, this is open interest as a ratio to registered (deliverable) gold.

January is not an 'active month.'

Higher prices would likely move gold into that deliverable category, and there is quite a bit in delivery ready form in the eligible category.

February is shaping up to be an interesting month.

Jesse: COMEX Gold Registered Inventory Potential Claims Still Historically High 80 to 1 GLD, MUX, TNR.v, GDX

  

  Jesse reports that COMEX is still leveraged at the record levels of 80 owners per one oz of Gold. Next week will be very important for Gold market. The move above $1260 will bring more short covering and will bring more confirmation on Double Bottom retested in 2013 at $1180 level.

Frank Holmes: Gold Stocks - What to Expect in the New Year GLD, MUX, TNR.v, GDX, SLV

"Frank Holmes starts new year with the very insightful outlook for Gold and Gold miners. China buys record amount of Gold in 2013 and UK and German authorities are investigating Gold market manipulations now. Chances are that this manipulation can go forever with Gold flowing by tons from the West to the East. Chart above from KWN demonstrates that Gold is in the most oversold sate in its history now."

KWN: “The Most Remarkable News In The Gold & Silver Markets” 

 "King World News has published very interesting long term charts for Gold, Silver and Gold Mining Shares."

Jesse's Cafe Americain:

Comex Warehouses: Registered Inventory Potential Claims Still Historically High 80 to 1

January is a non-active month, and overall inventories are adequate.

Those who hold bullion will need some incentive to move it to the deliverable, registered category for February, which is often a significant physical delivery month.

But all in all, the Comex is now the tail wagging the dog, the paper sideshow to the real bullion markets which are moving East.

Jesse: Record COMEX Gold Claims Per Deliverable Ounce of Gold at 92 to 1 GLD, MUX, TNR.v, GDX

 Jesse reports that we have another All-Time-High leverage at COMEX with 92 Owners per one once of Gold.

Jesse: Record COMEX Gold Claims Per Deliverable Ounce at 79 to 1 GLD, MUX, TNR.v, GDX

  "Jesse reports that the Game Of Musial Chairs in the Western Fractional Gold Reserve System is getting into the new stage with the record level of leverage. Now report from Bloomberg can be put into another perspective." 

Bloomberg: London Gold Vaults Are Virtually Empty GLD, MUX, TNR.v, GDX

Bloomberg quite suddenly provides some really interesting information about the state of the gold market and ongoing manipulations around it these days. Could the reports about JPMorgan being Net Long Gold now be correct in the end?

Jesse Cafe Americain:

Comex Claims Per Deliverable Ounce of Gold at 92 to 1 - Let Them Eat Treasuries

Luckily for the Comex most of the gold deliveries this month have been taken by JPM for their 'house account.'

January is not an active month for the precious metals on the Comex, so the wiseguys only need to muddle through the next couple of weeks, and then it should be clear sailing until February.

I hear the bullion banks are putting some heavy pressure on the miners to hedge their forward production, and even on some central banks to lease more gold. I am a little surprised that there have not been more acquisitive moves on the miners at these fire sale prices.

This situation on the Comex is not a default scenario per se. There is plenty of gold available, but it might require higher prices for customers to present their bullion for delivery. Unless of course that customer is a big bullion bank which is playing multiple sides of the same market.

Still, it pays to be prepared I suppose, even for the unlikely. CME Seeks To Broaden Cash Options In Clearinghouse Members Default Rules

Have a great holiday.

Jesse: Record COMEX Gold Claims Per Deliverable Ounce at 79 to 1 GLD, MUX, TNR.v, GDX

  

  Jesse reports that the Game Of Musial Chairs in the Western Fractional Gold Reserve System is getting into the new stage with the record level of leverage. Now report from Bloomberg can be put into another perspective. 

Bloomberg: London Gold Vaults Are Virtually Empty GLD, MUX, TNR.v, GDX

Bloomberg quite suddenly provides some really interesting information about the state of the gold market and ongoing manipulations around it these days. Could the reports about JPMorgan being Net Long Gold now be correct in the end?

Government Interventions In Gold Market: "The Double Face of Gold" GLD, MUX, TNR.v, GDX

 "We have the second part of the interview with Dmitri Speck revealing the ongoing Government interventions in the Gold market. This view from Europe on the Gold Cartel and Government Interventions in Gold market is particularly important now with the announced investigations in the Gold Market manipulation by German and UK financial regulators."

Jesse Cafe Americain:

Comex Claims Per Deliverable Ounce at 79 to 1

Not to worry, JP Morgan has the situation well in hand.

They are just recycling the deliverable for the next go round in the next active month, February. 

What could go wrong?

Jesse: COMEX Claims Per Ounce Of Gold At 69 To 1 GLD, MUX, TNR.v, GDX

 

  Jesse has updated the latest information from COMEX and it has even higher leverage now: Fractional Gold Reserved System is run at the all-time-high leverage with 69 Owners per 1 ounce of Gold.

Jesse: COMEX Registered Gold Falls To 587,235 Ounces - Claims At 63 To 1 GLD, MUX, TNR.v, GDX

"It looks like that any guessing about The Taper, QE and FED's further actions can not print more Gold for COMEX. Jesse reports that registered Gold falls to 587,235 ounces and leverage in Fractional Gold Reserve System has reached another record high of 63."

Bitcoin Heist And Jim Rickards On Taper, Janet Yellen and Gold GLD, MUX, TNR.v, GDX

  "In this very interesting episode RT is reporting about the hunger for the FIAT Currencies alternatives and how it is driving the Bitcoin Bubble, but it is not The New Gold or even close to it - as we have written before. New security concerns are reported with the cryptocurremcy and Jim Rickards dissects the Currency War situation in the ECB, BOJ and FED race to the bottom. You will find out why Janet Yellen can not Taper and what is behind the Gold and why Gold Standard is still valuable option even today. 

  After our yesterday US dollar chart observations it has fallen out of bed so far today - maybe somebody already has received Janet Yellen's testimony for tomorrow's nomination hearing."

Jesse's Cafe Americain:

COMEX Claims Per Ounce Of Gold At 69 To 1

Nothing much of note in the metals today as they continued to bump into overheard resistance.

There was little movement of gold bullion in or out of the Comex warehouses.

I had Nick Laird of Sharelynx check his coding and inputs and it turns out that the 'claims per ounce' from yesterday were a bit light at 63.  That did seem very little for a 51,000 ounce withdrawal.

A corrected chart is shown below.

We are at an all time record of 69 potential claims for each ounce of deliverable gold.

Have a nice weekend.

Jesse: COMEX Registered Gold Falls To 587,235 Ounces - Claims At 63 To 1 GLD, MUX, TNR.v, GDX

  

  It looks like that any guessing about The Taper, QE and FED's further actions can not print more Gold for COMEX. Jesse reports that registered Gold falls to 587,235 ounces and leverage in Fractional Gold Reserve System has reached another record high of 63.

Bitcoin Heist And Jim Rickards On Taper, Janet Yellen and Gold GLD, MUX, TNR.v, GDX

  "In this very interesting episode RT is reporting about the hunger for the FIAT Currencies alternatives and how it is driving the Bitcoin Bubble, but it is not The New Gold or even close to it - as we have written before. New security concerns are reported with the cryptocurremcy and Jim Rickards dissects the Currency War situation in the ECB, BOJ and FED race to the bottom. You will find out why Janet Yellen can not Taper and what is behind the Gold and why Gold Standard is still valuable option even today. 

  After our yesterday US dollar chart observations it has fallen out of bed so far today - maybe somebody already has received Janet Yellen's testimony for tomorrow's nomination hearing."

Jesse: COMEX Claims Per Deliverable Ounce Up Again To 62 GLD, MUX, TNR.v, GDX

 "Jesse reports that in Fractional Gold Reserve System the leverage has reached the all-time-high of 62 owners per ounce of Gold. With Janet Yellen set for hearing tomorrow we can expect another hit and run Gold accident in the DC area, but so far US Dollar has fallen out of bed today and Gold is holding up at its four weeks low. Where LBMA is going to get the physical Gold for delivery at this level of prices? We doubt that China will accept Bitcoin instead of Gold for its currency reserves any time soon."

Jesse's Cafe Americain:

COMEX Registered Gold Falls To 587,235 Ounces - Claims At 63 To 1

There was a rather large adjustment into eligible gold storage at the HSBC warehouse as 51,617 ounces left the deliverable 'registered' category.

This is not such a big short term issue since November is a' non-active delivery month' for the Comex precious metals futures markets.

But in fact there is so little actual physical delivery activity taking place there anymore, even in an 'active month,' that one might argue that the New York metals market is approaching practical insignificance, long before it can reach the storiedpermanent backwardation.

However, one must keep up appearances, since the Comex still effectively sets the metals price for much of the free world, if only aspirationally these days for Asia.

More charts will be added as they are updated later this evening.

Earlier today in a piece about price premiums in India I included a link to the online section of Charles Mackay's Extraordinary Popular Delusions and the Madness of Crowds.

You might want to have a quick glance over the chapter regarding John Law's highly innovative dalliance into the théorie monétaire moderne that was adopted by the nation of France, almost to the point of its demise.  It is a useful reminder that truly, there is nothing new under the sun.

As theoretical as all these pricing antics and market manipulations might seem, exercises in price setting for personal greed or policy considerations have real world consequences, especially when they are applied over long periods of time, and with some resort to coercion.

The longer that valuations are maintained against the market, the stronger the coercion to sutain them must become, to the demise of freedom, and the point of exhaustion and collapse.   The Soviet ruble is a possible case study for what happens when the unsustainable meets the inevitable, even with a hairy knuckled police state backing it up. 

We might start thinking about 2014 as the year of financial consequences.

Weighed, and found wanting.

Stand and deliver.