View Full Version : JP Morgan manipulating the silver market

24-04-11, 20:31
"Andrew Maguire is a former Goldman Sachs trader. He went public in April 2010 with assertions of market manipulation by J.P. Morgan and HSBC of the gold and silver markets.

Maguire and his wife were injured in a hit and run accident in March of 2010 after Maguire's name came to light during a US Commodities Futures Trading Commission hearing on limiting gold and silver positions held by large market participants in order to prevent manipulation."
source (http://en.wikipedia.org/wiki/Andrew_Maguire_%28whistleblower%29)

JP morgan silver manipulaton explained (http://www.youtube.com/watch?v=Gl47z2g2EvI&feature=related)

"The complaint alleges that around June 2008, when JP Morgan acquired Bear Stearns and its short positions in silver futures, JP Morgan and HSBC started a conspiracy to manipulate the market for silver futures and options contracts for their own benefit.

The lawsuit claims the defendants realised substantial illegal profits in connection with their scheme, while investors who had no knowledge of the scheme lost substantial amounts of money.

The complaint alleges that the "illegal scheme" continued until around March this year(2010), when a London-based ex-Goldman metals trader exposed the scheme. Silver prices have soared by about 80pc to a 30-year high since the low seen on February 8 this year."
source (http://www.telegraph.co.uk/finance/newsbysector/industry/mining/8115810/HSBC-and-JP-Morgan-accused-of-manipulating-silver-market.html)

You can read Andrew Maguire's emails here (http://www.kingworldnews.com/kingworldnews/G+_Articles/Entries/2010/3/30_A_LONDON_TRADER_WALKS_THE_CFTC_THROUGH_A_SILVER _MANIPULATION_IN_ADVANCEBy_Andrew_Maguire.html)

24-04-11, 22:37
World is full of bad individuals playing unfair games to their greedy advantage.
Looking at the chart we can see low in 2008 at 8.78, which is correlated with financial crises, and steady recovery till this spring. Since spring prices skyrocketed to 46.66. I wish I saw that in 2008, hehe.
Not sure what baring on silver market manipulations like these of Andrew Maguire had. Maybe it shows in day to day trading patterns. Overall though, it might not have bigger impact on long term trades in markets.

I'm against daily trading and similar manipulations directed toward quick buck, and adding no value to real economy. It should be forbidden.
Markets should be left for investors, and investing in companies/technologies, with long term rewards for helping GDP growth of whole country and the world, therefore benefiting all citizens.


25-04-11, 08:16
it is not only about silver and gold. all the commodities are hitting the new highs. there may be some manipulation, but the real reason is the huge amount of dollars and some euros pumped in to the market to help the banks due to the credit crisis. this money lifted almost all of the commodity prices. it is a kind of inflation.

25-04-11, 09:02
Yes it could be that the speculation money, with government founds included, are invested in all metals, creating new bubbles. But it won't last too long if there is no real demand for these metals. At the end real demand will win over speculation. If there is no demand the market will crash eventually. This is the real life test. Sadly it's our reality at the moment.
I know that speculation screws up the real world demand and honest prices, that's why I would gladly ban the day trading, and speculation.
For now we know that with growing economies of Asia, that is about 3 billion people, the demand for everything, metals and food included, will go up. The problem is that many speculators will get on bandwagon and cause the prices to rise too high. This is a bad thing for economies and I hope in the future we will get some regulations curbing speculation and leaving markets only for sellers, buyers and long term investors.

25-04-11, 09:16
Well, in capitalism there is a hidden system they call "free market". :useless:
It's as old as the road to Rome.

Pot, pot, pot as many goods you can, so you have a monopoly,
and sell little particles at a much higher price.

The best you can do is to ignore, what you really don't need.

The jewelry market in the west is over the top already for years.
I mean.. If you buy a ring for 600 euro,
you could sell it back the next day at the same shop for 60 euro.

In the east, the gold keeps the value of the market, but you pay the goldsmith for his craftsmanship.
That's more fair.

25-04-11, 11:58
I'd recommend a great movie/documentary called Inside Job - narrated by Matt Damon
Trailer (http://www.youtube.com/watch?v=X2DRm5ES-uA)

The level of corruption in the US government is remarkable, the relationship between the investment banks, the rating agencies and government is frightening. How do you prosecute massive financial fraud when the people commiting the fraud are part of the government.

As has been well documented the Ratings Agencies gave triple A rating to subprime mortgages allowing the investment banks (who they were being paid by) to then sell the crap internationally - testifying the rating agencies stressed rating where only their opinion :grin:. Then to rub salt into wound the investment banks wound then bet against their own securities.

Now in Europe we have those exact same Rating Agencies working on behalf of the investment banks deciding the credit worthiness of European countries. When being bailed out they have to get loans from the EU and of course the IMF (or the american government) who are of course in bed with the wall street investment banks. Lets not forget that Greece was given a big helping hand by who.....Goldman Sachs (http://www.spiegel.de/international/europe/0,1518,676634,00.html) to hide the true extent of its debt.

The Chinese own american debt and now the americans wants to own as much european debt as possible. When is Europe going stand up for itself?

26-04-11, 00:18
An interesting interview with Mário Soares, a former president of Portugal, about the economic situation in Europe and Portugal on Euronews. watch it here

26-04-11, 05:04
I'm sorry, but if Portugal had presidents like this one, no wonder Portugal is in deep trouble.

23-09-13, 08:20
Big banking has done it again. As if it needed any more negative media, Chase Bank opened itself up to critique by sending an Aurora, Colo., woman's home loan files to the wrong person, reports CBS 4 Denver. This was one more in a long line of incidents where banking institutions have mishandled consumers' home loan files. Article source: Chase sent mortgage documents to wrong person.