You are here

The King Report: Strategic buying of S&P futures is managing stock market decline

Section: Daily Dispatches

By Bill King
The King Report
Arbor Research and Trading, Barrington, Illinois
Friday, February 12, 2016

For six years a critical mass of investors poured into stocks as the primary hedge against wanton central bank credit creation and currency debasement. Now gold has become the hedge. Because the gold market is exponentially smaller than the globally equity market, its movements can be dramatic.

Stocks plunged on Thursday while gold soared 5.5 percent (at its high). Someone again surfaced to save stocks. After S&P 500 March futures plunged to 1804.20 at 7 a.m. ET, someone aggressively bought them. This generated a rally to 1833 by 9:58 a.m. ET. The 29-handle rally in the S&P 500 March futures kept U.S. stocks from collapsing.

Someone is managing the U.S. and global stock decline by strategically pouring into S&P 500 March futures during European trading. This type of intervention is characteristic of central bank currency intervention.

If the S&P 500 March futures buyer was a trader trying to front-run an expected rally into Federal Reserve Chairwoman Janet Yellen’s testimony at the Senate, he or she ignored what occurred to stocks after Yellen's appearance at the House. ...

We opined a few months ago that gold would reveal when central bankers lost control of the game. This dynamic is becoming increasing clear to the people of Planet Earth. ...


Silver mining stock report comes with 1-ounce silver round

Future Money Trends is offering a special 18-page silver mining stock report about how to profit with the monetary and industrial metal, and it comes with a free 1-ounce silver round. Proceeds from the report's sales are shared with the Gold Anti-Trust Action Committee to support its efforts to expose manipulation in the monetary metals markets. To learn about this report, please visit:

Join GATA here:

Mines and Money Asia
Tuesday-Thursday, April 5-7, 2016
Hong Kong Convention and Exhibition Centre
Hong Kong Special Administrative Region, China

Mining Investment Asia
Wednesday-Friday, April 13-15, 2016
Marina Bay Sands, Singapore

Support GATA by purchasing DVDs of GATA's London conference in August 2011 or GATA's Dawson City conference in August 2006:

Or by purchasing a colorful GATA T-shirt:

Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009:

Help keep GATA going

GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:

To contribute to GATA, please visit: