Tag: Gold and Silver News

JPMorgan Holds Bigger Short Positions Than Its Total Assets

Market News Daily - JPMorgan Holds Larger Short Positions Than Its Total Assets.
Market News Daily – JPMorgan Holds Bigger Short Positions Than Its Total Assets.

Dr. Stephen Leeb, one of the world’s top money managers, says that JPMorgan’s gold derivate short positions are so numerous and large that they likely exceed the entirety of the bank’s assets on hand – “which is a very dangerous position in which to be.”

“Should the price of gold ever shoot up from its current price by, say, another $1,000 in the coming weeks or months due to an unexpected “black swan” event, banking giant JPMorgan Chase would more than likely find itself underwater due to the massive gold derivative short positions it currently holds,” says Planet Today.

“What I lose sleep over is how much exposure does a bank like JPMorgan have to the [gold] derivative market,” Leeb is quoted as saying, adding that it is an “open secret” in the gold market that JPMorgan is heavy in gold derivative short positions.

“This is not fraudulent, but it’s an open secret. In fact, it’s no longer a secret because they’ve been penalized so much for it.

They’re trying to control the price of gold.”

When a stock or commodity is short sold, the short seller is on the hook for delivering that stock or commodity at a later date.

The goal is to make a profit between the current price and a future lower price.

In this case, JPMorgan appears to be selling the precious metal short using derivatives, which is effectively keeping the price of gold artificially low, says Planet Today. In such uncertain financial environments, many investors choose to buy gold and silver as a hedge against market manipulation and potential financial instability.

Ex-JPMorgan Gold Trader Faces 30 Years for Spoofing

Market News Daily - JPMorgan Holds Bigger Short Positions Than Its Total Assets.
Market News Daily – JPMorgan Holds Bigger Short Positions Than Its Total Assets.

An Ex-JPMorgan Gold trader was found guilty of fraud in the commodities market.

Christopher Jordan was convicted of wire fraud affecting a financial institution by a federal judge in Chicago, the latest win for U.S prosecutors in their crackdown of on illegal “spoofing” trades and market manipulation.

Between 2008 and 2010, Jordan placed thousands of spoof orders, i.e., orders that he intended to cancel before execution, to drive prices in a direction more favorable to orders he intended to execute on the opposite side of the market. 

Jordan engaged in this deceptive spoofing strategy while trading gold and silver futures contracts on the Commodity Exchange (COMEX), which is a commodities exchange operated by the CME Group.

These deceptive orders were intended to inject false and misleading information about the genuine supply and demand for gold and silver futures contracts into the markets.

He is scheduled to be sentenced at a later date and faces a maximum penalty of 30 years in prison. 

Four other former JPMorgan precious metals traders were previously convicted in related cases.

JPMorgan Short Positions Fraud

In August 2022, Gregg Smith and Michael Nowak were convicted after trial in the Northern District of Illinois of wire fraud affecting a financial institution, commodities fraud, attempted price manipulation, and spoofing.

In September 2020, JPMorgan admitted to committing wire fraud in connection with (1) unlawful trading in the markets for precious metals futures contracts and (2) unlawful trading in the markets for U.S. Treasury futures contracts and in the secondary (cash) market for U.S. Treasury notes and bonds.

JPMorgan entered into a three-year deferred prosecution agreement pursuant to which it paid more than $920 million in criminal monetary penalties, criminal disgorgement, and victim compensation, with parallel resolutions by the Commodity Futures Trading Commission and the Securities Exchange Commission announced on the same day.

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Market News Today - JPMorgan Holds Bigger Short Positions Than Its Total Assets.
Market News Today – JPMorgan Holds Bigger Short Positions Than Its Total Assets.

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Analyst Predicts HYMC Stock to Soar 3,200% This Year

Market News Daily - Analyst Predicts HYMC Stock to Soar 3,200% This Year.
Market News Daily – Analyst Predicts HYMC Stock to Soar 3,200% This Year.

An analyst is predicting Hycroft Mining (NASDAQ:HYMC) stock to soar more than 3,233% within a 12-month period.

HYMC stock is currently down more than -28% this year-to-date and is trading at $0.39 per share.

One analyst is offering a 12-month price forecasts for Hycroft Mining Holding Corporation with a median target of $13.00, a high estimate of $13.00 and a low estimate of $13.00.

The median estimate represents a +3,275.75% increase from Tuesday’s price of $0.39.

The current consensus among 1 polled investment analysts is to hold shares in Hycroft Mining Holding Corporation.

This rating has held steady since November, when it was downgraded from a buy rating.

Shareholders may feel convicted in their current investment with the latest HYMC price forecast.

If you’re new to the investment or are thinking buying, tread lightly.

Analysts were giving Mullen Automotive stock a 7,000% prediction for the year, but the stock has yet to see any gains since its forecast.

Latest HYMC Stock Updates

The silver and gold mine company reports that 77.2% of the company is now owned by retail investors, a result of AMC Entertainment taking a 22% stake in the company last year.

But retail investors have bought up shares in the past year now becoming the dominant stakeholder in Hycroft.

AMC Entertainment now has 11.7% ownership, while Hyrcoft reports Eric Sprott, billionaire and precious metals investor holds a 9.2% stake.

Mudrick Capital, known for their contrarian investing, holds the least ownership at 1.9%.

In December of 2022, news surfaced that the company had discovered more gold, and more silver than anticipated.

AMC CEO Adam Aron made the exciting announcement on Twitter stating, “so far ALL 20 of the newly drilled bores contained gold/silver, and 14 of the 20 showed higher grades than previously known to Hycroft.

Diane R. Garrett, President & CEO said the second phase of the drill program will continue through the first half of 2023.

“Once permits are received, we will be stepping out beyond the known resource area and drilling prospective high-grade targets identified within our vast land position.”

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Market News Today - Analyst Predicts HYMC Stock to Soar 3,200% This Year.
Market News Today – Analyst Predicts HYMC Stock to Soar 3,200% This Year.

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Ex-JPMorgan Gold Trader Faces 30 Years in Prison for Spoofing

Market News: Ex-JPMorgan Gold Trader faces time in prison after spoofing the market.
Market News: Ex-JPMorgan Gold Trader faces time in prison after spoofing the market.

An Ex-JPMorgan Gold trader was found guilty of fraud in the commodities market.

Christopher Jordan was convicted of wire fraud affecting a financial institution by a federal judge in Chicago, the latest win for U.S prosecutors in their crackdown on illegal “spoofing” trades and market manipulation.

Jordan was found guilty Friday after a four-day trial in the same courthouse where two of his most senior colleagues on the JPMorgan precious metals desk were convicted in August of spoofing related charges for deceptive buy and sell orders.

Jordan worked at JPMorgan from 2006 to late 2009.

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Department of Justice Comments on JPMorgan Trader

DOJ report on Ex-JPMorgan Trader spoofing the gold market.
DOJ report on Ex-JPMorgan Trader spoofing the gold market.

Between 2008 and 2010, Jordan placed thousands of spoof orders, i.e., orders that he intended to cancel before execution, to drive prices in a direction more favorable to orders he intended to execute on the opposite side of the market. 

Jordan engaged in this deceptive spoofing strategy while trading gold and silver futures contracts on the Commodity Exchange (COMEX), which is a commodities exchange operated by the CME Group.

These deceptive orders were intended to inject false and misleading information about the genuine supply and demand for gold and silver futures contracts into the markets.

He is scheduled to be sentenced at a later date and faces a maximum penalty of 30 years in prison. 

Four other former JPMorgan precious metals traders were previously convicted in related cases.

In August 2022, Gregg Smith and Michael Nowak were convicted after trial in the Northern District of Illinois of wire fraud affecting a financial institution, commodities fraud, attempted price manipulation, and spoofing.

In September 2020, JPMorgan admitted to committing wire fraud in connection with (1) unlawful trading in the markets for precious metals futures contracts and (2) unlawful trading in the markets for U.S. Treasury futures contracts and in the secondary (cash) market for U.S. Treasury notes and bonds.

JPMorgan entered into a three-year deferred prosecution agreement pursuant to which it paid more than $920 million in criminal monetary penalties, criminal disgorgement, and victim compensation, with parallel resolutions by the Commodity Futures Trading Commission and the Securities Exchange Commission announced on the same day.

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Source(s): Bloomberg, Justice.Gov.


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