Andrew Maguire – Absolutely Stunning Developments In The Gold Market And At The LBMA
December 18, 2015
Andrew Maguire – Absolutely Stunning Developments In The Gold Market And At The LBMA
Today whistleblower and London metals trader Andrew Maguire spoke with King World News about some absolutely stunning developments in the gold market and at the LBMA.
Andrew Maguire: “Eric, now that we have the well-anticipated Fed rate hike out of the way I wanted once more to focus upon the unprecedented, game-changing liquidity drain out of London into Asia. This is evidenced by the increasingly illiquid LBMA fixes. I don’t see this discussed anywhere else and given the pace of this liquidity drain, this will become the catalyst for the inevitable forced cash reset in the highly leveraged unallocated London gold markets…
SPECIAL LIMITED TIME OFFER FOR KWN READERS & LISTENERS:
All KWN readers and listeners who sign-up and fund a BitGold account will receive an
additional 5% bonus (up to $100.00) added to their Bitgold accounts.
Sign up today by email – CLICK HERE OR ON THE LOGO:
BitGold : King World News - sponsor logo IIISponsored
Maguire continues: “The global gold market structure has so radically altered that the physical markets have migrated and continue to migrate away from the LBMA conduit into Asia, leaving massive embedded naked-short mismatched lease obligations on the books of the central banks, which are largely shuffled onto the books of the agent bullion banks, the same insider bullion bank’s that are privileged to have gold accounts with the Bank of England.
This latest psyops gold talk-down operation is a good sign for those looking for higher prices, especially now that the baked-in Fed rate hike is finally dusted. The Goldmans, Citis, et al., who infest the swap dealer category of the commitment-of-traders report continue to talk their own book as they telegraph ever-lower prices.
Goldman Sachs And Fed Propaganda
This talk-down is an act of desperation revealing a weak hand. No trading bank gives away its prop positioning unless it is looking to draw in a counter-position to trade against. How many times have we seen Goldman Sachs pull this stunt? Then ask yourself who is the most vocal in calling gold down? During the 18 months the Fed has bullied down the gold market threatening a tiny one-off face-saving quarter-point rate hike, they have tricked many investors into dishoarding gold, kept sideline money off the table, and sucked in unprecedented naked-short ‘hot money’ short cover for themselves while the bullion banks that have the wholesale market see the writing on the wall and stealthily gear up long for a globally driven physical market outside their collusive influence.
As liquidity drains away from London, fix painting — forcing gold down into the fix at the expense of the captive producers who are forced to sell at market — has become far too visible. Liquidity is draining because producers are increasingly able to access non-predatory alternative non-LBMA financing and selling conduits. The longstanding collusive game of paper market fix painting is unsustainable without an increasing amount of synthetic market supply to offset these liquidity outflows. This is simply no longer available in enough size to keep this game going for much longer.
LBMA Insiders
The LBMA insiders continue to play all ends against the middle as they spoof prices lower into almost every AM and PM fix while scooping up the discount both directly and by way of raiding the GLD and SLV exchange-traded funds for lowe- priced physical to flywheel underwater operations. All this action is at the expense of the producers and investors.
In short, the longstanding insider game of collusively fix-painting the global benchmark price lower through the futures markets is coming to an end. Paying close attention to the daily AM and PM fixes evidences liquidity steadily evaporating over the last few months. This auditable fact has been the one upside advantage of having the otherwise rigged fix data published.
Considering that the AM fix is the primary global benchmark gold fix and the time of day when the primary financing bullion banks’ captive producers are traditionally forced to sell at market, the volumes transacted are visibly diminishing, sometimes seeing less than 1 tonne on offer at the AM fix. Obviously this does not mean that gold supplies are drying up. It simply pegs one side of a finite supply-demand equation with the migrating volume clearly transacting outside the LBMA conduit. These volumes pale in comparison to the physical volumes trading off London.
Quietly and without fanfare or mainstream media attention, liquidity is migrating to the physical exchanges away from London. I have been highlighting this migration for many months now and increasingly so as the official pre-launch Allocated Bullion Exchange comes quietly on-stream, providing a conduit for producers to both source alternative non-insider financing and, critically, the ability to choose the day, hour, and depth of liquidity at which they wish to sell their production at the offer, not as happens at present at market in an increasingly illiquid paper dilutive and insider-run LBMA fixing process.
Next comes the very unwelcome (for the LBMA) Shanghai Gold Exchange competing fix, and a recent update suggests earlier than that as recently leaked for April. We know this is something the People’s Bank of China has been waiting to bring on-stream for more than a year now but almost certainly timed to be announced after China’s toehold in the LBMA auction process was established and subsequent acceptance of the yuan in the International Monetary Fund’s Special Drawing Rights. Note that China plays its own game, totally missed by the mainstream media.
After China appeased the IMF, it is unlikely to be a coincidence that the devaluation of the onshore yuan began. The upcoming SGE physical market fix will come when it suits China and is the final piece of the jigsaw for China to gain full control of the global physical gold market. China is asserting itself at a time when the global dollar-denominated benchmark gold fix is under scrutiny for price manipulation, something that is now accepted as conspiracy fact and the subject of multiple lawsuits. Given the admission of several bullion banks, this time around the lawsuit likely will be successful.
KWN Embry I 3:9:2015Shanghai Gold Exchange
The Shanghai Gold Exchange fix will be settled in yuan and involve 15 Chinese banks but also include at least five of the same LBMA banks that rig the London fix. But there is a major difference. These fix prices will represent delivered physical bars without any paper market dilution and most importantly all participating banks will be heavily regulated and unable to spoof or paint the fix as they do now.
As I highlighted some months ago when the Shanghai Gold Exchange fix was officially tabled, there may be an initial reluctance for LBMA banks to comply with these strict regulations, which is why the meddling and proposed delay are being touted. But this delaying tactic is another smokescreen while these banks scramble to realign themselves against a changing marketplace. There is little choice for the LBMA banks but to comply and be a part of this new fix. Unlike the London fix, the Shanghai Gold Exchange fix will be fully transparent. The People’s Bank of China will be the counterparty to the Shanghai Gold Exchange fix and will be a much more vigilant regulator than the insider-infested round-trippers at the U.S. Commodity Futures Trading Commission have been.
The increasing convertibility of the yuan will shrink any price divergences between the primarily paper-settled unallocated London market and the physically settled Chinese and Asian markets. Mainland and international liquidity providers and takers will have to pay the local price, making the London fix jump to the Shanghai tune, especially as it front-runs the all-important Asian-related LBMA AM fix at 10.30 a.m. Though the yuan is not yet fully convertible, the two fixes will have to exist side by side globally but will set the benchmark global physical price. With the People’s Bank of China having a toehold at the LBMA fix, any divergences will be arbitraged and short sellers will be called for delivery, which will also backwash into the Comex.
Gold priced in yuan in the largest global physical marketplace will make the highly dilutive paper-settled over-the-counter and directly linked Comex markets far less relevant. Given that foreign-exchange gold is a primary counterparty to the strong-dollar policy, (long dollar/Short unallocated XAU), this is a major shot across the bow of U.S. hegemony and a major blow for the western central planners.
In a liquid physical marketplace, divergences cannot exist as they will be arbitraged. This will have a massive impact on positioning in the multibillion dollar gold and silver derivatives markets. The current derivative structure is anchored in billions of dollars’ worth of underwater cash bets that will have to be reset as these bets are undeliverable when true supply-and-demand fundamentals grab the gold market by the tail.
Anyone who thinks the commitment of traders and central planners are not gearing up for this event obviously has no exposure to the wholesale markets.”
http://kingworldnews.com/andrew-maguire-absolutely-stunning-developments-in-the-gold-market-and-at-the-lbma/
Today at 10:26 am by Rocky
» Kuwait is drilling an oil well near Umm Qasr, towards Iraqi territory
Today at 10:24 am by Rocky
» In the document... the first Iraqi ministry identifies the obstacles to changing the new official wo
Today at 10:22 am by Rocky
» Italian Institute: Iraq is stuck in its own crises, including Baghdad’s efforts to undermine the “au
Today at 10:21 am by Rocky
» The head of the Integrity Commission announces the holding of an international Interpol conference i
Today at 10:18 am by Rocky
» Planning: Iraqi companies are not efficient in conducting the population census
Today at 10:14 am by Rocky
» utube MM&C 4/24/24 Support - USA- Turkey - Timing- Currency Value - Tabled
Today at 8:08 am by Rocky
» MM&C 4/25/24 National Bank of Iraq goes live with Temenos core banking and payments
Today at 8:06 am by Rocky
» utube MM&C 4/26/24 Iraqi Dinar - US Treasury Exchange Rates- Focus - Banking Partnerships - Rate C
Today at 8:06 am by Rocky
» A banking official indicates a "danger" to Iraq by depriving more than half of its banks of dollars
Today at 7:55 am by Rocky
» With the participation of the Association of Private Banks, investment opportunities are on the tabl
Today at 7:45 am by Rocky
» Within a month... an Iranian border crossing recorded a noticeable increase in exports of goods to I
Today at 7:44 am by Rocky
» The Association of Private Banks appreciates the efforts of the government and the Central Bank to c
Today at 7:43 am by Rocky
» Al-Maliki's coalition presents a third candidate for the position of governor of Diyala
Today at 6:57 am by Rocky
» Arab gathering: The Kirkuk problem is getting complicated and the Sudanese must intervene
Today at 6:56 am by Rocky
» Next week.. a Kurdish delegation will visit Baghdad to meet with the Minister of Finance
Today at 6:54 am by Rocky
» Under the pretext of salaries... Al-Party refrains from handing over port revenues to Baghdad
Today at 6:53 am by Rocky
» Association of Banks: For the first time, we are witnessing a clear targeting of depriving half of t
Today at 6:51 am by Rocky
» Parliament does not know the reason for the delay in sending the 2024 budget schedules: Voting takes
Today at 6:49 am by Rocky
» Applicants for the 2024 Hajj are demanding that the Central Bank secure the dollar for them through
Today at 5:09 am by Rocky
» Governmental and private banks will showcase their services tomorrow during Financial Inclusion Week
Today at 5:08 am by Rocky
» Iraq's oil exports rise despite OPEC+ cuts
Today at 5:06 am by Rocky
» A study explodes a "surprise"... Iraq is among the countries that export oil to "Israel": How is the
Today at 5:04 am by Rocky
» Al-Araji emphasizes working to strengthen national identity
Today at 5:02 am by Rocky
» Al-Sudani visits Saudi Arabia to participate in the World Economic Forum in Riyadh
Today at 5:01 am by Rocky
» Iraq is talking about producing one million additional liters of gasoline
Today at 4:59 am by Rocky
» The Council of Ministers approves the implementation of the Baghdad Metro project
Today at 4:56 am by Rocky
» Minister of Commerce: We formed a joint economic committee with Türkiye
Today at 4:55 am by Rocky
» Resources: Government measures have contributed to improving the water situation in Iraq
Today at 4:53 am by Rocky
» Parliamentary Finance: Baghdad will continue to send salaries to the region’s employees until settle
Today at 4:51 am by Rocky
» A parliamentarian describes the corruption of Iraqi ports as “ghouls” and reveals the involvement of
Today at 4:49 am by Rocky
» Obelisk Hour: Basra is the subject of political conflict and ambiguity over the fate of the funds al
Today at 4:48 am by Rocky
» Turkmen leader: An agreement on the local government of Kirkuk is near
Today at 4:45 am by Rocky
» Anbar calls for the operation of its factories despite financial obstacles
Today at 4:44 am by Rocky
» Turki: The crisis of the Presidency of Parliament prompted the Sunnis to amend the Council’s interna
Today at 4:43 am by Rocky
» The Agriculture Committee confirms the existence of Iraqi-Turkish-Iranian discussions on water
Today at 4:42 am by Rocky
» Resources diagnose the challenges facing the water file in Iraq
Today at 4:38 am by Rocky
» Parliament pledges to the Interior Ministry: We will transfer money to buy weapons from citizens
Today at 4:33 am by Rocky
» Al-Issawi is the closest.. Parliament sets the date for deciding the choice of the new president
Today at 4:31 am by Rocky
» Deputy: Iraq's investments have risen and need a comprehensive review of previous years
Today at 4:30 am by Rocky
» Iraqis consume 7 billion eggs annually and import about $900 million
Today at 4:28 am by Rocky
» The Iranian role complicates attempts at open cooperation between Iraq and Turkey. Turkey is trying
Today at 4:26 am by Rocky
» Move in Iran to obtain $242 billion from Iraq in compensation for the eight-year war
Today at 4:25 am by Rocky
» 12 decisions from the Council of Ministers regarding the Baghdad Metro and Najaf-Karbala train proje
Today at 4:23 am by Rocky
» Sudanese Advisor: The path to development has begun... the Baka and the militias “we silence them wi
Today at 4:21 am by Rocky
» Not from Kurdistan.. How did Iraq become a source of oil for “Israeli tanks”?
Today at 4:19 am by Rocky
» Parliamentary Agriculture criticizes the Sudanese and Erdogan agreement: Türkiye will control water
Today at 4:16 am by Rocky
» The Iraqi government issues new decisions
Yesterday at 2:35 pm by Rocky
» The story of “reduced oil” to Jordan, from “compulsion” to mutual benefit.. Is there a loss?
Yesterday at 2:33 pm by Rocky
» The Council of Ministers takes 12 decisions for the Baghdad Metro and the Najaf-Karbala train
Yesterday at 2:32 pm by Rocky
» utube MM&C 4/23/24 Iraqi Dinar - IQD Update - Development Road Project - Saviour of Global Banking
Yesterday at 10:18 am by Rocky
» Kidney from pig transplanted into deathly ill New Jersey woman — and begins working almost immediat
Yesterday at 10:15 am by Bama Diva
» The most difficult option.. Warnings of the danger of floating the Iraqi dinar without achieving an
Yesterday at 9:48 am by Rocky
» Trade from the “Economic Committee” with Türkiye: It will overcome all obstacles facing the traders
Yesterday at 9:46 am by Rocky
» Washington's hope for stable relations with Baghdad clashes with Iraqi parties' rejection of the Ame
Yesterday at 9:41 am by Rocky
» Karim Badr: Development is America’s will to kill silk
Yesterday at 9:36 am by Rocky
» Oil: Opening of a new port for liquid gas for vehicles in Baghdad
Yesterday at 9:33 am by Rocky
» A media advisor warns of corruption in a draft law on the Parliament’s agenda
Yesterday at 9:21 am by Rocky
» Economist: There is serious work to lift US sanctions on Iraqi banks
Yesterday at 9:16 am by Rocky
» Will the agreements signed with the US Treasury reflect positively on the exchange rates?
Yesterday at 7:52 am by Rocky
» Iraq continues its quest to join the World Trade Organization
Yesterday at 7:51 am by Rocky
» Iraq completes the completion of the files for the initial offer of goods and services to join the W
Yesterday at 7:50 am by Rocky
» Economist: Travelers' dollars are leaking into the parallel market...and this is what the Central Ba
Yesterday at 7:32 am by Rocky
» President of the Federal Court: It is not permissible to force anyone to join any party, and the pol
Yesterday at 7:30 am by Rocky
» The Council of Ministers holds its session headed by Al-Sudani
Yesterday at 7:27 am by Rocky
» America weakens Baghdad...and increases Kurdistan's military capabilities
Yesterday at 7:26 am by Rocky
» The Iraqi government plans to build 10,000 schools throughout the country
Yesterday at 7:23 am by Rocky
» American threats close the Iraqi Stock Exchange at a loss
Yesterday at 7:21 am by Rocky
» Increase in external transfers at the Central Bank
Yesterday at 7:20 am by Rocky
» Al-Maliki calls on Britain to cancel restrictions on the entry of its companies into Iraq
Yesterday at 7:18 am by Rocky
» Planning and the European Union are discussing signing a number of agreements in the development, en
Yesterday at 7:16 am by Rocky
» Parliament talks about the mechanism for recovering smuggled funds and hints at the next stage
Yesterday at 7:13 am by Rocky
» Interior Ministry: The number of completed national cards reached 37 million cards
Yesterday at 7:06 am by Rocky
» Amnesty International: Violations of freedom and human rights continue in Iraq and the Kurdistan Reg
Yesterday at 7:04 am by Rocky
» Parliamentary Oil: The government is proceeding with the decision to raise the price of improved gas
Yesterday at 7:03 am by Rocky
» A parliamentary committee in Basra to investigate violations of the port company and the local gover
Yesterday at 7:00 am by Rocky
» Revealing the 10 most important American exports to Iraq
Yesterday at 5:31 am by Rocky
» A noticeable increase in the rate of Iraq's import of Chinese cooling devices
Yesterday at 5:30 am by Rocky
» Prime Minister: Working on projects without completing the infrastructure is a waste of money
Yesterday at 5:28 am by Rocky
» Iraq.. Extending the deadline for registration procedures on plots of land
Yesterday at 5:27 am by Rocky
» What is the main purpose of conducting the population census in Iraq?
Yesterday at 5:25 am by Rocky
» A plan to transform Iraq from a barren land to green with 5 million trees
Yesterday at 5:24 am by Rocky
» The Housing Fund announces the acceptance of more than 11 thousand loans through the Ur platform
Yesterday at 5:23 am by Rocky
» The Bank of Baghdad is moving to increase its capital to 400 billion dinars
Yesterday at 5:20 am by Rocky
» The electronic payment system will soon be adopted on Iraqi buses
Yesterday at 5:19 am by Rocky
» “It threatens our interests and destroys our economy.” An Iraqi project “irritates” the Kuwaiti stre
Yesterday at 5:18 am by Rocky
» Warning from the Central Bank about “misuse of electronic payment cards”
Yesterday at 5:17 am by Rocky
» Iraq and the Sultanate of Oman are discussing sending capacities through the Gulf countries
Yesterday at 5:16 am by Rocky
» The fact that a decision was issued to deport Syrian workers from Iraq
Yesterday at 5:14 am by Rocky
» Rice comes first... America exports 10 foodstuffs worth more than 350 million dollars to Iraq
Yesterday at 5:14 am by Rocky
» A sixth licensing round for gas exploration
Yesterday at 5:12 am by Rocky
» Baghdad is preparing to host the 50th session of the Arab Labor Conference
Yesterday at 5:11 am by Rocky
» Scientific symposium on the future vision of the tripartite budget
Yesterday at 5:09 am by Rocky
» Five conversion power stations enter service in Najaf
Yesterday at 5:08 am by Rocky
» Planning: Conduct a population census next November
Yesterday at 5:07 am by Rocky
» Experts: Spreading misleading information harms development and investment
Yesterday at 5:03 am by Rocky
» Economists call for tightening money laundering laws and port controls
Yesterday at 5:02 am by Rocky
» Today's newspapers are interested in Sudanese's visit to Anbar Governorate and preparations for cond
Yesterday at 5:00 am by Rocky
» Iraq and Russia discuss cooperation between the two countries in the field of information and artifi
Yesterday at 4:58 am by Rocky