Puppet Masters

Wall Street

Supply and demand in the gold and silver futures markets

© Reuters
This article establishes that the price of gold and silver in the futures markets in which cash is the predominant means of settlement is inconsistent with the conditions of supply and demand in the actual physical or current market where physical bullion is bought and sold as opposed to transactions in uncovered paper claims to bullion in the futures markets.

The supply of bullion in the futures markets is increased by printing uncovered contracts representing claims to gold. This artificial, indeed fraudulent, increase in the supply of paper bullion contracts drives down the price in the futures market despite high demand for bullion in the physical market and constrained supply. We will demonstrate with economic analysis and empirical evidence that the bear market in bullion is an artificial creation.

The law of supply and demand is the basis of economics. Yet the price of gold and silver in the Comex futures market, where paper contracts representing 100 troy ounces of gold or 5,000 ounces of silver are traded, is inconsistent with the actual supply and demand conditions in the physical market for bullion. For four years the price of bullion has been falling in the futures market despite rising demand for possession of the physical metal and supply constraints.

Comment: So don't pay attention to the price of silver and gold. It is merely based on fiat currency. But seeing the manipulation of the price is a sure bet that something stinks in the world economies.


The West has already lost the ideological battle

Credit to Dmitry Leikin, whose brief post at d3.ru served as the source and the inspiration for this piece.

There are times when a loud cry of "The emperor has no clothes!" can be most copacetic. And so, let me point out something quite simple, yet very important.

The old world order, to which we became accustomed over the course of the 1990s and the 2000s, its crises and its problems detailed in numerous authoritative publications on both sides of the Atlantic - it is no more. It is not out sick and it is not on vacation. It is deceased. It has passed on, gone to meet its maker, bought the farm, kicked the bucket and joined the crowd invisible. It is an ex-world order.

If we rewind back to the early 1980s, we can easily remember how the USSR was still running half of Europe and exerting major influence on a sizable chunk of the world. World socialist revolution was still sputtering along, with pro-Soviet regimes coming in to power here and there in different parts of the globe, the chorus of their leaders' official pronouncements sounding more or less in unison. The leaders made their pilgrimages to Moscow as if it were Mecca, and they sent their promising young people there to learn how to do things the Soviet way. Soviet technology continued to make impressive advances: in the mid-1980s the Soviets launched into orbit a miracle of technology - the space station Mir, while Vega space probes were being dispatched to study Venus.

Comment: The "West" will not give up without a fight. Psychopaths in power will see to that. The veil that hides the machinations of the elite is slowly fading away for all who have eyes to see.

To further understand the psychopathic mindset, read Political Ponerology.

Eye 2

3-year-old London child deemed "extremist" and placed in government reeducation program

The United Kingdom has gone batshit crazy. There's simply no other way to put it. I warned about Britain's "war on toddler terrorists" earlier this year in the post: The War on Toddler Terrorists - Britain Wants to Force Nursery School Teachers to Identify "Extremist" Children. Here's an excerpt:
Nursery school staff and registered childminders must report toddlers at risk of becoming terrorists, under counter-terrorism measures proposed by the Government.

The directive is contained in a 39-page consultation document issued by the Home Office in a bid to bolster its Prevent anti-terrorism plan.

The document accompanies the Counter-Terrorism and Security Bill, currently before parliament. It identifies nurseries and early years childcare providers, along with schools and universities, as having a duty "to prevent people being drawn into terrorism".


British House of Lords deputy speaker Baron John Sewel resigns after leaked video shows him snorting coke off prostitutes


'We write the laws - you obey them. Get it?'
Scotland Yard has been called in to investigate the deputy speaker of the House of Lords after a video emerged of him allegedly snorting cocaine with prostitutes.

Lord Sewel resigned from his £84,500 per year post after the video was leaked to the Sun newspaper and published in an expose on Sunday.

The Prime Minister backed his decision to resign amid "very serious allegations".

"I think it's right he has stood down from his committee posts and I'm sure further questions will be asked about whether it is appropriate to have someone legislating and acting in the House of Lords if they have genuinely behaved in this way" Cameron said.

"It's still going to take some time I suspect to get to the full truth.‎"

Sewel, 69, is facing calls to quit parliament altogether, and he could become the first peer to be expelled under new rules he was instrumental in implementing.

Police proceeded to search Sewel's flat, entering the property with sniffer dogs and exiting with bags of evidence, according to media reports.

So far no arrests have been made, police said.

"A warrant under Section 23 of the Misuse of Drugs Act 1971 was today granted at Westminster Magistrates' Court," Scotland Yard said in a statement. "The warrant was executed at 6 pm at an address in central London by officers from the Special Enquiry Team of the Homicide and Major Crime Command."

"Shame there isn't an Asian one with us tonight. They look innocent, but really they're whores."

~ Baron John Sewel, Deputy Speaker of the House of Lords
This is actually fairly common behavior among the British criminal class. The current Chancellor of the Exchequer (the UK government's money man) is known to have frequented drug-fuelled orgies on his work-breaks:

The really sick stuff, of course, like the child rape/snuff parties, isn't so readily leaked to the press.

Why do people accept such psychopathic monsters to be their leaders? Could it BE any more obvious that they're in it for themselves and don't give a damn about anyone else??

Arrow Down

USA: What went wrong?

During WWII .....

© www.theburningplatform.com
....... and today...

© www.theburningplatform.com
"For 17 years, Tom Carroll and his wife Hermine Ricketts tended an organic garden in the front yard of their home in Miami Shores Village, Florida. They grew everything from arugula to zinnias, mostly for home consumption. Then, one day in August 2013, disaster struck.

It wasn't a hurricane, a flood, or a drought. It was the government.

Armed with a newly amended zoning ordinance geared toward home aesthetics, Miami Shores ordered the couple to uproot their vegetable garden or pay $50 a day in fines."


Drivers, Beware: The costly, deadly dangers of traffic stops in the American police state

"The Fourth Amendment was designed to stand between us and arbitrary governmental authority. For all practical purposes, that shield has been shattered, leaving our liberty and personal integrity subject to the whim of every cop on the beat, trooper on the highway and jail official. The framers would be appalled."—Herman Schwartz, The Nation
© www.cadillacnews.com
Trying to predict the outcome of any encounter with the police is a bit like playing Russian roulette: most of the time you will emerge relatively unscathed, although decidedly poorer and less secure about your rights, but there's always the chance that an encounter will turn deadly.

The odds weren't in Walter L. Scott's favor. Reportedly pulled over for a broken taillight, Scott—unarmed—ran away from the police officer, who pursued and shot him from behind, first with a Taser, then with a gun. Scott was struck five times, "three times in the back, once in the upper buttocks and once in the ear — with at least one bullet entering his heart."

Samuel Dubose, also unarmed, was pulled over for a missing front license plate. He was reportedly shot in the head after a brief struggle in which his car began rolling forward.

Levar Jones was stopped for a seatbelt offense, just as he was getting out of his car to enter a convenience store. Directed to show his license, Jones leaned into his car to get his wallet, only to be shot four times by the "fearful" officer. Jones was also unarmed.

Bobby Canipe was pulled over for having an expired registration. When the 70-year-old reached into the back of his truck for his walking cane, the officer fired several shots at him, hitting him once in the abdomen.

Dontrell Stevens was stopped "for not bicycling properly." The officer pursuing him "thought the way Stephens rode his bike was suspicious. He thought the way Stephens got off his bike was suspicious." Four seconds later, sheriff's deputy Adams Lin shot Stephens four times as he pulled out a black object from his waistband. The object was his cell phone. Stephens was unarmed.

If there is any lesson to be learned from these "routine" traffic stops, it is that drivers should beware.

At a time when police can do no wrong—at least in the eyes of the courts, police unions and politicians dependent on their votes—and a "fear" for officer safety is used to justify all manner of police misconduct, "we the people" are at a severe disadvantage.

According to the Justice Department, the most common reason for a citizen to come into contact with the police is being a driver in a traffic stop. On average, one in 10 Americans gets pulled over by police. Black drivers are 31 percent more likely to be pulled over than white drivers, or about 23 percent more likely than Hispanic drivers. As the Washington Post concludes, "'Driving while black' is, indeed, a measurable phenomenon."

Stock Down

Senate yanks 102-year-old freebie from banks

© yourpfpro.com
Banks given the "highway."
Banking lobbyists are furiously fighting a proposed and unexpected cut in revenues that the industry has received for more than a century. Included in Senate legislation to fund highways is a provision to greatly reduce the dividend that the Federal Reserve pays to banks that participate in the Fed system.

Comment: A review of previous policy proposals suggests that the idea may have first been thought up by House liberals. The 2014 budget proposal from the Congressional Progressive Caucus put forward the idea to raise revenue, and a CPC aide said he believed it was the first time someone in Congress proposed the idea. But the Senate highway bill apparently marks the first time members have actually placed it in actual legislation.

The payout, which is 6%, has been around since Congress authorized the Federal reserve Act of 1913. More than 2,900 banks have purchased stock (equal to 6% of each bank's total capital and surplus) in the central bank that allows them to participate in the system. For the banks, it's a win-win investment because it is subsidized by the government in the form of the annually-paid 6% dividend. It originally came about as a marketing ploy to bring banks on board, making up for the fact that the stock can't increase in value, nor can be traded or sold.

In 2012, the Fed handed $1.637 billion in dividends to banks, most of it tax-free, according to The New Republic. It's "a risk-free entitlement program," wrote the magazine's David Dayen. "It's one of the many unknown ways the Fed extends special benefits to Wall Street."

But senators are always looking for ways to boost government revenues to help pay for their legislation. They have now turned to the banks' 6% dividend for a healthy source of funding. Without any advance notice to the banking industry, they included a provision in the highway bill—which lawmakers are hoping to pass before funding evaporates at month's end—that would reduce the dividend to 1.5% for banks that hold more than $1 billion in assets. The reduction would reap about $17 billion for the government.

Comment: As far as this provision being attached to the highway bill...this is done all the time, so now that it affects the banks we are being picky?

Donald Kohn, the former vice chair of the Fed, told House lawmakers Wednesday that the proposal would be one directly felt by banks. "Let's recognize that by lowering it to, say, 1.5 percent on the proposal, in effect you are placing a tax on banks," he told the House Financial Services Committee. Whoa there, buckaroo! Since when does the (not total) rescind of a freebie constitute a tax on the banks? And, who/what has dibs on citizen money in the next derivatives fiasco "bail-in" situation? The banks. Who will be left holding the empty bag? Certainly not the banks.

Георгиевская ленточка

Swiss media interview with Putin: FIFA 2018 and American imperialism

© Presidential Press and Information Office
Vladimir Putin gave an interview to Swiss media. The interview was recorded on July 25 in St Petersburg, during the President’s visit to the preliminary round draw for the 2018 Football World Cup.
Question: Good evening, Mr President. Thank you very much for making the time for this interview.
Vladimir Putin (In French): Bon Soir.
Question: We are currently in the city of St Petersburg, where the draw ceremony is underwayfor the 2018 Football World Cup, which will be held in the Russian Federation, and to which you are devoting so much energy.
Vladimir Putin: Yes, this is true. Congratulations to all of us.

I can honestly tell you, and there is nothing new: we do not have any special ambitions in this upcoming championship, although we certainly expect a good performance from our team.

Our goal in holding this competition fell in line with FIFA's goals - namely, broadening football's geography. I won't even mention that Russia is a very large nation - the biggest in the world in terms of territory, and the largest in Europe in terms of population.

In addition to everything else, we have a visa-free regime - free movement - with most of the former Soviet republics, which are now independent states. And naturally, this event will be important not only for Russia but our closest neighbours as well.

Comment: After reading this interview, can anyone conclude that Putin is mad? Hardly. That's why he's so demonized in the Western press: because he is saner than any Western leader, and he tells the truth plainly. And that is a dangerous thing for 'Western democracies'! See: 80% of French citizens want a good relationship with Russia

And if you're one of those people Putin has thanked in his final paragraph, you can show your support by signing: Dear Putin!

Eye 1

Turkey calls NATO council meeting to step up the bombing campaign in Syria

© AP Photo
With the NATO council meeting to discuss the recent outbreak of violence in Turkey, the US and Ankara have reportedly spoken about establishing an ISIL-free buffer zone in northern Syria. However, there are fears that such a campaign would target other groups and trigger more violence in the region.

The issue of an anti-buffer zone is thought to have been high on the agenda of today's NATO council meeting in Brussels, after Turkey experienced its greatest outbreak of violence in recent times following clashes with ISIL militants and Kurdish groups.

Turkish Prime Minister Ahmet Davutoglu said he was pushing for permission to initiate a bombing campaign to rid northern Syria of ISIL fighters and other terrorist groups, while also offering support to western-backed 'moderate' rebel groups in the country.

Comment: Once again Terrorism Inc. gives NATO an excuse to ramp up its war on the world. Also see:

Bad Guys

Ukrainian 'leadership' demands more bailout money for themselves, and more shock therapy for the people

© Sputnik / Andrei Stenin
While a crisis of faith, of sorts, has resounded in western discourse on the economic effectiveness of austerity, this scepticism, rather ironically, dissipates when you cross over into the remnants of the Iron Curtain.

Neoliberalism's flagellants reside east of the Elbe. There, ideological purity remains, if not redoubled. Former patients of shock therapy are now its most devoted converts. This was not only demonstrated by Estonian, Latvian, Lithuanian, Slovak, and Polish officials' unyielding support for 'tough reforms' in Greece, but the general lack of sympathy among their populations for the Greek people. Past shock therapies have left them numb, docile, and inured to the calamities of neoliberal logics.

The neoliberal faith is expanding further eastward as well. The Ukrainian leadership have shown their unbridled readiness to exchange one master, Russia, for another: western finance and corporate capital. Even in light of the Troika's 'fiscal waterboarding' of Greece and the utter failure of austerity as economic policy, the Ukrainian government is willing, even enthusiastic, to implement reforms prescribed by the IMF not only with the blind faith that they will stimulate economic recovery, but also in the name of 'European values', which are now subject to much scrutiny.

Comment: Of course these greedy officials are willing to make the Ukrainian people suffer under austerity while they themselves use bailout money in their backroom deals. They are simply shameless.