We don't need no stinking audit, says the US Gov't

• The Dollar gets saved from falling off the cliff again by the PPT.

• Is the Gold price suppression getting exposed?

Good Day... And a Tub Thumpin' Thursday to one and all! Again last night, my beloved Cardinals found timely hitting in their bats... Where has that been all year? I know I'm being hard on the Beaver, June, but he deserves what I'm giving him!  This afternoon, I'll be hooking up with some of my classmates... This is a unique group of classmates, as they stretch across all social genres... Everyone else is still a "working stiff", while I'm the only that's retired... And so on... The band, Yes, greets me this morning with their great 70's song: Roundabout... 

Well, all that talk yesterday morning about how this latest bout of selling that the dollar was seeing, could turn into something BIG, got thrown out with the bath water yesterday, as the dollar was bought like the dollar bugs were giving away something for free! The BBDXY gained 9 index points on the day... Now, you know that i didn't just fall of a turnip truck, nor did I just walk into town without know what's going on... And to me, this walks like, talks like, and smells like the PPT went to the buy dollars yesterday with both guns blazing... There is no way in hell that this was just a "correction", or the dollar bouncing... 

There was no data to give anyone an idea that the dollar should be bought... And it was oversold on it Relative Strength Index (RSI), this was a case of all hands-on deck to save the dollar/ Titanic from sinking... The euro, which yesterday was sniffing around 1.12, lost over ½ cent... And the rest of the currencies followed suit... 

The only currency to gain VS the dollar yesterday was the Chinese renminbi... Yes, the renminbi saw its price gain a bit VS the dollar and ended the day trading with a 7.01 handle.... 

Gold fluctuated all day yesterday, up, down, and all around, but ended the day flat at $2,657.50.... And Silver which was down 21-cents to start the day ended the day down 28-centst at $31.80... I read an article from a trader at Goldman Sachs that talked about how the phones on his metals desk were ringing off the hook, that the demand for physical Gold was very strong... So, there's Lola's viewpoint...  

There was a report last night that was written by a Gold analyst, who believes that Gold is in its second rally, that will take it beyond $3,000.... He said that the first rally, which is still going on, was all the Central Bank buying, but now he believes that the individual buying is taking over... I'll have to get with my metals guru and see if he's seeing this kind of activity from the moms and pops... 

The main thing on Gold yesterday was that it was much higher at one point in the day yesterday (by $15) only to see the short paper traders take that out, easily... 

Even with reports calling for increased demand for Oil from the U.S., the price of Oil got marked down to end the day with a $69 handle... And the 10-year Treasury saw some selling yesterday, and it's yield rose to 3.79%... 

In the overnight markets last night... It's difficult to tell what went on last night, as there is no BBDXY report this morning... This happens from time to time, and then I have to lean on the old Dollar Index, which is off a bit this morning from where it ended yesterday. The Dollar Index, which yesterday was 100.44, is trading at 100.83 this morning, so you see the damage the PPT caused yesterday, mainly to the euro, which is the overbearing component of the Dollar Index... Yesterday, I was talking about how the old Dollar Index was falling so fast that we should look for a dip below 100... But not today...  

And just showing that you can't keep a good asset class down... Gold is up $22 to start the day today, and Silver is up 67-cents! Shoo, short paper traders, go away!  

The price of Oil fell out of bed last night after there were reports/ rumors that the Saudi's are going to drop their $100 price target for Oil...  Oil is priced with a $67 handle this morning... And the 10-year trades in the same clothes it wore yesterday, at 3.76% yield... 

Well, what have we here? Ok, I know that's not fair, for I hadn't given you anything to read yet... So, let me set this up... The Good Folks at GATA sent me this "Are federally insured banks trading monetary metals derivatives for the government?

In their report today at Wall Street on Parade, Pam and Russ Martens marvel at the increasing amount of stock, foreign exchange, and derivatives trading that has been moved into federally insured banks by Wall Street megabanks, federally insured banks that hold most deposits for ordinary Americans.

The Martenses also marvel at the explosion of monetary metals derivatives trading by federally insured banks. They write:

"According to the most recent Office of the Comptroller of the Currency report, in the first quarter of 2024, federally-insured banks held $438.60 billion in precious metals contracts. That figure is at least 12 times greater than the amount the same banks held in precious metal contracts in any quarter from 2007 through 2018."

Chuck again... As longtime readers, ( I even had a reader tell me yesterday that he had been reading the Pfennig since 1993!) you'll remember me saying this about Gold / Silver suppression... That's it's all generated by the Gov't... I even printed a Wikileaks report back in the day, that had a conversation with Kissinger and a high-ranking Senator that had them talking about how they couldn't allow Gold to become more popular than the dollar... This is the reason that these Casino Banks never get their leaders sent to jail when the suppression is exposed... The Casino Bank just gets a slap on the wrist in fines that don't equal a day's trading profits in metals suppression... So, in my humble opinion, the answer to the question is a resounding YES! Federally Insured Banks are trading monetary Metals Derivatives for the Gov't!  

So... I got that off my chest this morning!  here's something else that's been bugging me and that is that the Gov't's holding of physical Gold hasn't been audited in 50 years!  The Good Folks at GATA sent me something on this that I have for the FWIW article today, so stay tuned, same bat time, same bat channel, for the FWIW... 

Well, it seems that there was outside help for the short paper traders in keeping the price of Gold in check in the first half of this year... Here's the skinny: "The Bangko Sentral ng Pilipinas (BSP) disclosed that it sold gold during the first half of the year, following a report identifying the central bank as the largest precious metal seller for that period."  

Chuck again... Geez, Louise... Are these people as dense as the Bank of England, who sold their Gold holdings back 25 years ago, and look what Gold has done since then?  My spider sense is tingling this morning that there is more to this story than what's up front... My conspiracy hat on tells me that they were instructed to sell Gold by the U.S. Gov't... Now that would make headlines bold wouldn't it? 

The U.S. Data Cupboard finally has something for us this morning... Ok, yes, yesterday we saw that New Home Sales had collapsed even with falling mortgage rates, but that data didn't move the markets... This morning we'll see the color of Durable Goods Orders for August, which I'm thinking will be negative... In addition, we'll see another revision to 2nd QTR GDP, which previously printed at 3.00% ( Lots of Gov't spending was the catalyst in that number).... If we see a downward revision, the Fed Heads will be slapping each other's backs... I'm just saying...

To recap... Well, someone, somewhere, somehow bought dollars like funnel cakes at a State Fair yesterday, (Read the PPT) and the BBDXY gained 9 index points on the day, thus saving the dollar once again from falling off the cliff... Gold was flat on the day, after the short paper traders took their pound of flesh... And Silver turned a negative morning to a positive ending!  Is the short paper trading scheme finally getting exposed? Well, if you read the wallstreetonparade.com letters.... They are doing the exposing! it's been 50 years since the last, for show, audit took place of Fort Knox's Gold reserves... That's shameful in my book, where in the bank I was audited by inside auditors and outside auditors every year, and the OCC, and the Fed, and so on... 

Here's your snippet: "The Sound Money Defense League's policy assistant, Matthew Cortez, notes that today is the 50th anniversary of the U.S. Treasury Department's public relations stunt at Fort Knox in Kentucky, wherein a few gold bars in one of the bullion depository's 15 vault compartments were shown to members of Congress and some journalists.

This did nothing to verify that the rest of the U.S. government's 8,133 tonnes of gold reserves were still in the government's possession. Nor did the stunt do anything to ascertain whether any of the U.S. gold reserve was encumbered by leases or swaps with foreign central banks or bullion banks.

Suspicion remains in order, since the secret March 1999 staff report to the board of the International Monetary Fund, obtained by GATA in 2012, confirmed that the IMF, the official compiler of international gold reserves, allows member central banks to avoid distinguishing gold in the vault from gold being leased or swap -- precisely to help conceal official intervention in the gold market:

That is, the bigger question about the U.S. gold reserve may be not whether there is still metal in Fort Knox but rather how many entities have a claim to it -- whether it is, to put it politely, oversubscribed.

Cortez's reminder is headlined "50-Year Anniversary of the Notorious 'Show Audit' of Fort Knox Gold"

Chuck again... Yes, the book that I recommended everyone read a couple of years ago, explained how the U.S. Gov't sanctioned the swaps and leases that took place that reduced the Gold reserves held....  I'm just saying... ( I'm having a Senior Moment, brain drain right now, and can't recall the name of the book or the author)

Market Prices 9/26/2024: American Style: A$ .6883, kiwi .6311, C$ .7411, euro 1.1161, sterling 1.3380, Swiss $1.1813, European Style: rand 17.2834, krone 10.5268, SEK 10.1206, forint 354.86, zloty 3.8265, koruna 22.5435, RUB 92.84, yen 144.16, sing 1.2842, HKD 7.7793, INR 83.64, China 7.0114, peso 19.54, BRL 5.4228, Dollar Index 100.83, Oil $67.67, 10-year 3.76%, Silver $32.47, Platinum $1,012.00, and Palladium $1,068.00, Copper $4.58, and Gold... $2,679.14

That's it for today, and this week... Well, my two weeks without dr appts ends tomorrow... Monday I meet my new eye doctor (my old eye doctor died!) and Tuesday there will be no Pfennig as I report to the hospital for a visit with my oncologist... By the way, I'm back on chemo, as my doc believes my blood level is strong enough now... So, I have that going for me! I personally don't feel like my blood level is strong enough, as I still huff and puff out of breath any time I try to walk across the room... And sleep? All the time! Oh well, life goes on... Well, no Mizzou Tigers this weekend, and my beloved Cardinals end their season on Sunday... UGH! The Playoffs begin next week, so that will keep me busy watching those games... Mama's Pride takes us to the finish line today with their great 70's song: Blue Mist.... Mama's Pride was a St. Louis Band, and one of its members went to the same high school I went to, and I would see him in the halls, and think "Wow, a rock star here"...  I hope you have a Tub Thumpin' Thursday today, and please, oh please with sugar on top, Be Good To Yourself!