UK government committee: the likes of JP Morgan could impede ‘the correct functioning of the [metals] market’

Stacy Summary: For more than 6 years now, Max has been telling listeners of our various programmes on radio and television that precious metals would provide a hedge against the inflation and currency instability that would follow the epic crimewave wrought upon us by banksters. Sure enough, as predicted, precious metals have protected as designed. But it was in November 2010 when Max Keiser, the inventor the virtual specialist technology, identified that JP Morgan’s massive short position was causing market failure, specifically in the price discovery mechanism.  As an architect of markets, Keiser looked at this impediment to the correct functioning of markets with the same disgust as Sir Norman Foster no doubt looked upon his wobbly bridge. And so in November, he launched the Crash JPM, Buy Silver campaign to restore order to the wobbly bridge that was the price discovery mechanism in the silver market. Today, a UK government committee finds that excessively large positions on the LME by one of the four large players, including JPM, can, indeed, impede the ‘correct functioning’ of markets. The same applies for any market, including the silver market:

We would be concerned if a dealer were undermining the effective functioning of the market and we look for assurance that the market is functioning satisfactorily.

27 comments on “UK government committee: the likes of JP Morgan could impede ‘the correct functioning of the [metals] market’
  1. FranSix says:

    What will the Office Of Fair Trading say? I’m shocked! Shocked, I say, to find such things going on!

    http://www.youtube.com/watch?v=T1DEG6BWgp0

    It comes as a bit of relief that the London markets are no longer in control of price fixing.

  2. Bev says:

    quoting from Dale Byron’s free on-line book:

    http://www.mega.nu:8080/ampp/comingbattle/cbchap3.htm


    CHAPTER III

    NATIONAL BANKS AND SILVER


    The national bank autocrats saw, in the rich deposits of silver in the Western States, the danger that menaced their power, and they made haste to strike down the silver dollar, which, in their fears, would become the regenerator of the financial condition of the people. Silver dollars meant cash, national bank notes meant credit, and therefore the bond-holders and bankers of London and New York City decreed that silver must die.

  3. Marc Authier says:

    http://www.youtube.com/watch?v=YUhb0XII93I

    About Merchant Bankers by Monty Python. Oxymoron. These British unregulators are bloody funny !

  4. Trevor Morgan says:

    Unfortunately things grind but slow in the mock Gothic halls of parliament.
    In 1907 the British Board of Trade reported a link between asbestos and lung disease and action was taken after 1972.

  5. Jo says:

    New Adam Curtis documentary from yesterday – Episode 1
    ALL WATCHED OVER BY MACHINES OF LOVING GRACE
    The internet, Washington / Wall St psychology, Alan Greenspan and the Asian economic bubble.. http://www.youtube.com/watch?v=xX5jImWRREc

    See also this – about the American dream..
    IT FELT LIKE A KISS
    http://www.youtube.com/watch?v=SfIFeqScJz8

    And this, about 20th century psychology..
    CENTURY OF THE SELF
    http://www.youtube.com/watch?v=IyPzGUsYyKM

    Enjoy

  6. BOLLOCKS!!!

    it was on 11/11/10

    11:11 being a time that chases me every 12 hours!

    And a lucky # / date for Max to start the “CRASH JP MORGAN BUY SILVER”

  7. Olivia says:

    Is this like bringing something illegal to the SEC’s attention?

  8. Jack Kristeller says:

    Well, well! We have a last print of $42.19 for JMP with silver taking off like a rocket today. Score POS $36.21 (last) v. JMP $42.19. I make that a $6.00 difference. Eating up the $8.00 ‘comfort zone’ on today’s news from the ‘house of sin’. I particularly like the ‘could impede the metals market’. Nice touch, that!

    Hi Max,
    http://online.wsj.com/community/groups/stock-market—useful-info-1021/topics/financial-stocks-death-spiral-nysegs

    I wonder if this has anything to do with silver being ‘knocked back’ from $39.50 to (under) $35.00 in one day’s trading on 11 May 2011. Please note: 11/5+2+1+1=9 i.e. 11/9 – sound familiar? I suspect that JPM’s ‘comfort zone’ between the JPM share price and silver is around $8.00. I see no other justifiable reason for this unprecedented sell-off. It begs the question: how was it, when silver surpassed the JPM share price by over $4.00 at the end of April, that it did not trigger an immediate collapse in the JPM stock? If, as you have suggested, their silver short position of over 3 billion ounces is collateralized against their common stock, their collateral must have been inadequate for at least two days!

    Simple calculation:

    3.3 billion x $48 = $158.4 billion. Today, JPM is capitalized at $175.76 billion. This means that they must have pledged nearly all of the common stock regardless of who owns it, which is itself a sort of naked short position – on their own stock!!

    Of course, it depends on how the collateral contract is framed as to how and when JPM becomes unable to comply with its terms and, therefore, becomes insolvent.

  9. OldEnglishGame says:

    Us little ants are at the mercy of the big buyers who have lichences from the gov to FusUTA with premiums. This ain’t privatized. This is Teriffying to the max
    TERIFFying us little ants. This ain’t no free market. And it certainly ain’t privatized
    It’s TERIFFied

  10. Hawkeye says:

    @Joseph

    Adam Curtis rocks!!

    Perhaps the only person on the BBC who isn’t scared of the establishment.

    The MayFair Set was good too.

  11. Hawkeye says:

    @Max & Stacy

    Please try and entice Peter Warburton on to your show. He called the manipulation back in 2001 !!!

    “[central bankers] incite investment banks and other willing parties to bet against a rise in the prices of gold, oil, base metals, soft commodities or anything else that might be deemed an indicator of inherent value. Their objective is to deprive the independent observer of any reliable benchmark against which to measure the eroding value, not only of the US dollar, but of all fiat currencies.”

    http://www.gata.org/node/8303

    His contact details are here:

    http://www.economicperspectives.co.uk/index.php?id=31

  12. Jim says:

    Max;

    Are you sure Naomi Prinz is not Peter Schiff’s twin sister or illegitimate daughter,
    they sure looke like they could be twins to me…… he he..

  13. Olivia says:

    But seriously, folks. I posted on here a few weeks ago that Larry Edelson of Uncommon Wisdom said that JPM, et al, could have non- registered vaults filled with silver that they could just throw it into the market place and flood the silver market.

    Nuts?

  14. Nothingbuthitsent says:

    All the more reason to Raid the Apmex on May 27, 2011 (Google It)

    It’s real simple. Everyone on Friday buy 10 oz of silver from Apmex. If 50, 000 people buy 10 oz of silver then that will take 500,000 oz’s off the market in 1 day! Plus Apmex will have to buy to cover all their orders. Next month pick another PM dealer and repeat the process.

  15. ZORRO LONDON says:

    “We would be concerned if a dealer were undermining the effective functioning of the market and we look for assurance that the market is functioning satisfactorily.”

    I am ashamed to say how typically politically legalistic FEKKING British, these weazel words are. Typical non-comittal government speak. Hear it all the time.

    Means nothing but a white-wash will happen.

    This is what makes Britain one of the most successful diplomatic nations in the world.

    What do I mean by that.

    Smile at you, whilst stabbing you in the back!

    Basically this phrase translates to…

    Fuck! its getting embarrasingly obvious that our special relationship scam is now visible for all to see. One of the parties involved in our con is not being too clever about this and running the risk we might get caught out! So we better make it look like we are investigating this so as not to look too involved and get one of the good old boys from the club to tell the sheeple, nothing is really going on and that everything is perfectly normal and above board”

    Phhhhhhhhheeww, I say Jeremy, thats getting a bit close to the mark old bean, the jolly old plebs are not quite as stupid as we thought. Get on the phone, pronto to that chap…. Simon Cowell, and ask him what the fuck does he think he’s doing allowing the commoners to get interested in finance when they should be watching talentless over-hyped trailer trash instead. Oh! and while your at it Jeremy bend over, drop your pants and, pick up that sixpence and earn your damn keep! And could you sing rule Brittania whilst we play hunt the sausage!

    And these…..are what they see themselves as our so-called………”BETTERS!”

    Z

  16. selfhatingsheeple says:

    “Max Keiser,…., identified that JP Morgan’s massive short position was causing market failure” – huh?

    No, that was Ted Butler, long before Max – c’mon Stacy – let’s give credit, where credit is due.

  17. TJ says:

    @ Zorro

    The bankers are the feudal Lords. One of the genuine kind just got a kick in the nuts

    http://londonersdiary.standard.co.uk/2011/05/peer-loses-his-lords-battle.html

  18. john says:

    The LME does not deal in silver, is this just to show JPM as uncompetitive.

  19. susan says:

    @Zorro

    spiffingly funny post, what!

    @MarcAuthier

    Those Python guys sure were ahead of the curve…

    plus ça change, plus c’est la même chose…

  20. ZORRO LONDON says:

    @ TJ

    My heart bleeds for them. Whats that phrase…silver spoon in their mouth.

    They know what PMs are really worth, but let rabble can play with their worthless monoply money whilst the fat cats (in the know) hoard it themselves.

    Feudal…..you got that right TJ.

    Why should anyone feel sorry for those with, in built, designer privilages, and then use their position to proceed to cheat, manipulate and screw the life out of those, who have genuinely worked hard to make a better life, only to have it stolen in front of their eyes.

    I dont go with people pissing in my pocket and telling me its raining outside!………Z

  21. susan says:

    re Adam Curtis, and Ayn Rand:

    she’s a rabid racist:
    http://www.youtube.com/watch?v=2uHSv1asFvU&feature=related

    and here Rand Paul says he’s a big fan:
    http://www.youtube.com/watch?v=oD-R_OeP6tU

    hmmmm, and it sounds like Ron Paul might be a fan too:
    http://www.youtube.com/watch?v=MjwuGHPilwI&feature=related

    Ron Paul for President? Where would that leave Palestine?

  22. ZORRO LONDON says:

    @ Susan

    Do I detect a little “titter”……..LOL

    Wotcha babe! I’m a salt of the erf type o geezer, naw wot I mean doll!

    Glad to share a smile.

    I fink I’m in the rong business!………. Z X

  23. flicks says:

    From the Science and Technology Committee Report (NOTE NOT the FSA)

    To Ted Butler; Max Keiser; Bob Chapman; Jim Willie; Eric Sprott; John Embry; Gata et al other PM experts I suggest you send all manipulation information to this Committee they are not experts on the matter but select Committee’s are Govt influencial and your info would be invaluable .

    Contact –

    Commons http://www.parliament.uk/business/committees/committees-a-z/commons-select/science-and-technology-committee/

    Lords – http://www.parliament.uk/business/committees/committees-a-z/lords-select/science-and-technology-committee/

    From the report -

    http://www.publications.parliament.uk/pa/cm201012/cmselect/cmsctech/726/72606.htm#a16

    “MARKET DOMINANCE

    79. We heard that there were large companies dealing metals within the UK and an allegation was made by the MMTA that a company through a subsidiary may be behaving in an anti-competitive manner:

    on the London Metal Exchange there are four very large companies that own the very warehouses that people deliver metal into, J.P. Morgan is one of them. They own a company called Henry Bath. They are, therefore, a ring-dealing member of the exchange and they also own the warehouse. That is restrictive. They were also reported, at one point, to have had 50% of the stock of the metal on the London Metal Exchange.[113]

    80. We would be concerned if the ownership of metals storage warehouses by a dominant dealer on the London Metals Exchange were to be anti-competitive. We would also be concerned if a dealer who had the resources to own over 50% of stock on the London Metals Exchange impeded the correct functioning of the market.

    81. We use this report to bring the alleged activities of large dealers on the London Metals Exchange to the attention of the Office of Fair Trading. We would be concerned if a dealer were undermining the effective functioning of the market and we look for assurance that the market is functioning satisfactorily. “

  24. ZORRO LONDON says:

    That bridge Max, don’t know who the bigger dumbski is, the civil engineer that designed it or the beloved sheeple overloading an unstable structure.

    & these are the people we are trying to bring over from the dark side.

    God help us!!!……………………..Z

  25. Olivia says:

    @ Zorro
    Yes, love the Brits slang and humor. But for cripes sakes, wot ’bout the Bank of England, dear sir? It ’twas where all this slime began. ‘Tis not?

    But really, when you speak about designer lifestyles and silver spoons, I am still wondering after they think they’ve won, they look around and say, “Shit, the oceans are dead! The soil is poisoned with toxic chemicals that have leached into the rivers and streams. They’ve told me something is wrong with my DNA! The doc said my pregnant wife has a child in her belly growing two heads! And we’re being radiated!! (And for Stacy’s amusement–we’re burning up! GLOBAL WARMING!!!)

    If they kill two many of us or they make us debt slaves–who’s gonna buy their shit? Their commercials are in your face on the internet and movie theaters. They FORCE you to watch 10 minutes of commercials before the 5 previews.

    @nothingbut…
    If the conjecture that JPM, et al DO have undisclosed vaults of silver that they can spring on to the market, what good is trying to buy all the silver from APMEX?

    I and long silver and gold physical. Just wondering.

  26. Al Kyder says:

    @ Trevor Morgan

    “In 1907 the British Board of Trade reported a link between asbestos and lung disease and action was taken after 1972.”

    You see Trevor, They can get things done quickly when they have a mind too. Haver faith in the British legal system.

  27. I realize it’s tough for most folks to follow the “One Keiser in the hand beating two SLV in the Comex Bush doctrine.” It’s strategery… only Team Greenspan could understand it fully. For everything else… there’s Mastercard.

    http://tradewithdave.com/?p=6559

    Dave Harrison
    http://www.tradewithdave.com

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