Jobs Friday (and Its Effect on Gold and Silver)

 I posted this on September 1, 2017 regarding "jobs Friday."  It's still relevant today, even as gold and silver plummet on the Thursday before Jobs Friday tomorrow.

My letter to clients:

I posted this two days ago on Facebook and LinkedIn, and it's a shared memory from September 1, 2017.

Shorting the precious metals complex worked 80% of the time on Jobs Friday.

3 Years Ago

See Your Memories

"Jobs reports came out today, specifically nonfarm payrolls. Which probably means the manipulators are going to monkey-hammer gold and silver down. And if they don't, that means they've lost control of the physical markets, which will happen at some point. Probably not today tho. The conventional wisdom is if the jobs picture is rosy, that means the economy is healthy which results in a strong dollar. Hence, gold should drop. The real reason is it gives the bullion bank cartel an opportunity to collusively plummet gold by swarming the COMEX exchange with sell orders. If a trade is that predictable, you know the market is rigged."

Today is Thursday, September 3, 2020, and gold and silver are already hammered.  Could the Big Shorts be front-running the normal Jobs Friday bear raid?  Perhaps, so I went long today, and looking to go long more tomorrow if further drops occur.  BTFD.

Again, gold and silver usually get hammered on the first Friday of every month by the Big Shorts who manipulate the futures and spot markets.  It's a collusive group who are being prosecuted by the Department of Justice, and in some cases, under RICO statutes.  The DOJ has declared the JPMorgan metals trading desk a "criminal enterprise" in other words.  Other banks have also been paying fines and "cooperating" with the DOJ, presumably to avoid jail time.  THIS IS NO LONGER CONSPIRACY THEORY, BUT FACT.

https://www.bloomberg.com/news/articles/2019-09-16/jpmorgan-s-metals-desk-was-a-criminal-enterprise-u-s-says 

https://www.bloomberg.com/news/articles/2020-02-05/jpmorgan-s-role-in-metals-spoofing-is-under-u-s-criminal-probe

These investigations are targeting mid- and low-level traders spoofing markets.  They really don't address the larger issues:  these bullion banks are acting on behalf of the Fed and other central banks to surreptitiously suppress gold and silver prices.  These manipulations are coming from the top of the food chain.  It is also happening in the Bitcoin COMEX futures market, as the former CFTC publicly admitted.  We definitely live in strange (and treacherous) times. 

Remember:  history doesn't repeat, but it often rhymes.  This plunge in prices from the precious metals complex occurs approximately 80% of the time, so it is not random.  If folks are catching on and front running the move, the trade may lose its effectiveness on Jobs Friday and is now occurring the day before.  In any case, today and tomorrow may be good opportunities to add to your long positions.

Good luck to all!

Greg