Did A Raging Fire Burn Down JPMorgan’s Gold Vault?

As a reminder, it was Zero Hedge who broke the news in March about the location of JPM‘s vault, namely that it can be found 90 feet below street level at 1 Chase Manhattan Plaza (located over half a mile away on Liberty and William Streets). Which is relevant, because as the FDNY reports, and as the video clip below vividly confirms (with the Federal Hall National Memorial distinctly visible in the background), the fire response was focused on the area on Broad street between the New York Stock Exchange and what is now the 15 Broad Street block.

Video streaming by Ustream

So did a sweeping fire “take place” (in broad daylight and in front of video camera armed streetwalkers) providing the fire brigade a pretext to abscond with JPM‘s gold on orders from above, or merely give JPM an alibi to say it’s gold is “gone… all gone” or rather “burned… all burned” (leaving aside the propensity of a fire to propagate in the confined oxygen constraints to be found on top of the Manhattan bedrock and far below street level)? No. For the simple reason that 1 Chase Manhattan Plaza is over two blocks away from where the fire did take place as can be seen on the map below:

In other words, if there was a “fire” in JPM‘s vault, the response would have been not at 15 Broad Street, but over half a mile away at the perfectly fire-accessible Liberty Street (between the NY Fed and 1 CMP), across from the real JPM vault fire doors which can be seen in the following interactive image:

And yes: those who may suggest that any amount of gold tonnage may have been quietly moved over two blocks by the Fire Brigade have never actually carried the not-so-light-bars of gold themselves, especially not in broad daylight.

So why the confusion?

It appears the confusion stems from the Fire Brigade‘s designation of the fire as taking place at “JP Morgan’s building” which indeed is where the Fire Brigade was located. However, it is the 23 Wall Street building, also known as the “JPMorgan building” formerly owned by JPM, and subsequently owned by Morgan Guaranty Trust Company, best known for being the site of the September 16, 1920 Wall Street bombing, when 38 people were killed and 400 injured. Ironically, as was then reported, “because the Morgan building was so well known, many assumed that the target of the assumed anarchist bombing was actually the bank itself.”

For modern generations, 23 Wall Street may be better known as the (incorrect) facade of the NYSE as represented in The Dark Knight Rises.

Of course, JPM has long since moved on from its landmark location just across from the NYSE, and now can be located at its Park Avenue headquarters (with its Bear Stearns annex), and of course, at 1 Chase Manhattan Plaza.

So what is now housed in the 15 Broad/23 Wall Street block to where the FDNY was responding, if not any JPM? 23 Wall and 15 Broad Street were sold in 2003 for $100 million to Africa Israel & Boymelgreen (there is likely a far more interesting story surrounding Africa Israel and Boymelgreen here than there is about the “fire in JPM‘s vault”). The two buildings have become a condominium development, Downtown by Philippe Starck, named for French designer Philippe Starck, one of a growing number of residential buildings in the Financial District. Starck made the roof of 23 Wall into a garden and pool, accessible to the residents of the development.

Could there be a vault in the Downtown residential building, and could the FDNY have been responding to a fire in such a “commercial vault”? Of course: as anyone who has ventured into the skyscraper forest of New York‘s Financial District knows, there is an underground vault in virtually every building.

Source: http://www.zerohedge.com/news/2013-07-21/did-raging-fire-burn-down-jpmorgans-gold-vault

JPM Eligible Gold Plummets By 66% In One Day To Just Over 1 Tonne, Total Gold At Fresh All Time Low

For over a month, JPMorgan managed to mysteriously avoid matching up the gold held in its (world’s largest) vault with the Comex delivery notice update. However, as of today, that particular can will be kicked no more. Starting yesterday, JPM reported that just under 12,000 ounces of Eligible gold (the same Registered gold that two days earlier saw its warrants detached and convert to eligible) were withdrawn from its warehouse 100 feet below CMP 1. But it was today’s move that was the kicker, as a whopping 90,311 ounces of eligible gold were withdrawn, accounting for a massive 66% of the firm’s entire inventory of non-Registered gold, and leaving a token 46K ounces, or a little over 1 tonne in JPM’s possession.

Needless to say, today’s massive move which increasingly puts JPM‘s gold holdings in the danger zone vis-a-vis future delivery notices which just refuse to stop, has pushed total JPM vault gold to a new all time low of just 436k ounces, or a little under 14k tonnes with just 12 tonnes, or 390k ounces, of Registered gold left and rapidly draining. And to think that two years ago around this time JPM had over 3 million ounces of gold in its possession.

Finally, those who believe there is a connection between the ongoing run on JPM‘s vault gold, the suppressed price of the metal, the redemption of Bundesbank gold, and the fact that 3M GOFO has now been negative for 10 straight days or the longest period in history it has been below zero, and indicating an unprecedented gold collateral shortage, you are correct.

Finally, putting it all in context, this is what 1 ton of gold looks like in the real world courtesy of Demonocracy:

Source: http://www.zerohedge.com/news/2013-07-19/jpm-eligible-gold-plummets-66-one-day-total-gold-fresh-all-time-low

The Daily Gold and Silver Report

Gold closed down by $16.20 to $1366.00 (comex closing time).  Silver fell by 8 cents to $21.67  (comex closing time)

In the access market at 5:00 pm, gold and silver finished trading at the following prices :

gold: 1367.10
silver:  $21.67

At the Comex, the open interest in silver rose by a rather large 2408 contracts to 150,968 contracts despite silver‘s fall in price yesterday.  The silver OI is still  holding firm at these highly elevated levels. As I mentioned to you yesterday, the bankers will try and do everything possible to remove as many longs from the silver arena as possible. They must know something is up!!

The open interest on the entire gold comex contracts fell  by 4081 contracts to 372,950 which is still extremely low. There is no question that all of the weak speculators in gold have now departed. The number of ounces which is standing for gold in this June delivery month  is 940,500 or 29.2 tonnes.The number of silver ounces standing in this non active month of June  remained constant at 705,000 oz

Tonight, the Comex registered or dealer inventory of gold remained the same at  1.434 million oz or 44.60 tonnes.  This is still dangerously low.  The total of all gold at the comex also remained the same  at 7.706 million oz or 239.68 tonnes of gold.

JPMorgan’s customer inventory shows no  change and rests tonight at its nadir of 136,380.611 oz or 4.24 tonnes.  Its dealer inventory remains at 413,526.284 oz but it still must settle upon contracts issued in the June delivery month which far exceeds its inventory.

The total of the 3 major bullion dealers, Scotia , HSBC and JPMorgan have in the Comex dealer account only 30.02 tonnes of gold

The GLD  reported a loss in inventory of 1.51 tonnes of gold inventory. The SLV inventory of silver  remained firm with no losses or gains in inventory.

In physical stories we have reports from, Bill Holter and Chris Powell of GATA on the departure of Gary Gensler and maybe others at the CFTC.

On the paper side of things,we have Ron Paul tackling USA involvement inside Syria, Reuters, Matt Scuffham on the bail-in of the UK’s Co Op Bank, Ambrose Pritchard Evans on what will happen to the world if Bernanke “tapers” and finally Michael Snyder of Economic Collapse Blog as he discusses the plight of Detroit and the USA in general.

We will go over these and many other stories but first…………………

Let us now head over to the comex and assess trading over there today.
Here are the details:

First Richard Russell, on gold trading last night :

*Richard Russell last night…

“It looks like the great gold rip-off is completed and over. A few of the banks (JPM) spread the rumor that gold was heading for $1,000 and that the bull market in gold was toast. This set off a panic in gold and silver, which served the perpetrators well.

As the metals swooned, the crooks, who had sold the metals short, made a tidy fortune as the metals collapsed. At the same time, they loaded up on cheap gold and silver. In all, quite a play, during which a good many duped investors dumped their silver and gold.

I understand that there is now a huge speculative short position in gold on the Comex. This position will have to be covered. This means driving the shorts out of the market. Thus, the manipulators will have cleaned up — first by selling the metals short, and then by loading up on the metals at the bottom of the panic in preparation for (hopefully) the ride up.

My guess is that China and Russia soaked up a good deal of the bargain-priced gold near the bottom of the panic. China waits patiently while the US spends its way into bankruptcy. Which reminds me, there’s still lots of talk about the true amount of gold owned by the US. Then why the hell doesn’t the government or the Fed finally audit our gold holdings and put an end to the rumors? From what I understand, neither the Fed nor the US government want an audit. If the gold is really there, then why don’t they put an end to all the rumors? For heaven’s sake, let’s have an audit — or is there really something to hide?

I feel we are besieged with rumors, secrets, lies and manipulations. I’ve felt this way before, but I’ve never felt this strongly that we (Americans) are being lied to and manipulated. What’s to hide? Jesus told us that we must know the truth, and the truth will make us free. Then for God’s sake, start telling us the truth! My intuition tells me that if it’s a secret, it’s probably evil. Ultimately, good or bad, everything comes to light– although it may take time.” – Richard Russell.

The total gold comex open interest fell  by 4081 contracts from  377,031 down to to 372,950 with gold falling by $4.20 yesterday. The front active month of June saw it’s OI fall by 437 contracts from  1382 down to 945. We had 414 deliveries served upon our longs on Monday.  We thus lost 23  contracts or 2300 oz that will not stand in this delivery  month of June. The next delivery month is the non active July contract and here the OI fell by  68 contracts down to 651.  The next active delivery month for gold is August and here the OI fell by 4083 contracts from 212,754 down to 208,671. The estimated volume today was bad at 123,017 contracts.    The confirmed volume yesterday was atrocious at 82,551. It seems that the many now realize that the Comex is a crooked game so investors are seeking other means to acquire gold.

The total silver Comex OI surprisingly rose  despite as silver‘s fall  in price by 20 cents yesterday. It’s total OI is up by 2408  contracts to 150,968. The longs in silver remain resolute, willing to take on the criminal bankers who today threw a tantrum with their raid, as their object of the exercise was to remove some of those stubborn longs from the silver open interest. I doubt very much if today’s raid would have any effect on the total OI.  The front non active June silver contract month shows a loss in OI  of 4 contracts resting tonight at 25. We had 4 notices filed yesterday so in essence we neither gained nor lost any silver contracts. The next big delivery month is July and here the OI fell by only 437 contracts down to 57,686. We are less than  two weeks away from first day notice (June 28.2013) and judging from the relatively high OI in July, we may see some fireworks in silver.  The estimated volume today was good coming in at 57,686 contracts.  The confirmed volume on Friday was  good at 43,115.

Comex gold/May contract month:

June 18/2013

the June contract month:

Gold
Ounces
Withdrawals from Dealers Inventory in oz
nil
Withdrawals from Customer Inventory in oz
202.48 oz (Scotia)
Deposits to the Dealer Inventory in oz
nil
Deposits to the Customer Inventory, in oz
12,178.435 (Scotia) oz
No of oz served (contracts) today
 11 (1,100  oz)
No of oz to be served (notices)
934 (93,400 oz
Total monthly oz gold served (contracts) so far this month
8471  (847,100  oz)
Total accumulative withdrawal of gold from the Dealers inventory this month
78,856.579 oz
Total accumulative withdrawal of gold from the Customer inventory this month
259,153.01 oz
We again had no activity at the gold vaults
The dealer again  had 0 deposits and no  withdrawals.