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Trading Of Over The Counter Gold And Silver To Be Illegal Beginning July 15

"We wanted to make you aware of some upcoming changes to FOREX.com’s product offering. As a result of the Dodd-Frank Act enacted by US Congress, a new regulation prohibiting US residents from trading over the counter precious metals, including gold and silver, will go into effect on Friday, July 15, 2011.

"In conjunction with this new regulation, FOREX.com must discontinue metals trading for US residents on Friday, July 15, 2011 at the close of trading at 5pm ET. As a result, all open metals positions must be closed by July 15, 2011 at 5pm ET."

http://www.zerohedge.com/article/trading-over-counter-gold-and-silver-be-illegal-beginning-july-15

 

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It's difficult to follow. I hadn't heard anything about this before, so perhaps it only addresses a tiny piece of the market, or perhaps it isn't even true.

 

I wounld not think that congress would pass that.

 

I read it as a restriction on futures trading involving principals that do not directly report to the SEC or similar government agencies. Since it exempts any transaction that is completed ( or written to be completed) within 28 days, it would mainly affect speculators and companies that are functioning as a private futures broker, offering contracts and margins. etc. outside of markets like CME ( which does report to the SEC as a public company).

I think the company sending this is appealing to the libertarian side of PM people over what I see as a tightening of speculation in the PM area. IMO of course.

 

If true, one set of rules for the rich man, different set of rules for the rest of us. I don't ever seem to remember the congress passing a bill that directly classified people by their net worth. Then again this bill is the Dodd-Frank Financial Reform bill which means it does exactly the opposite. Those two sacks edited ~rules sold out to the banksters long ago. (especially Dodd). I wouldn't be surprised if that huge bill, which has all kinds of surprise like this.

Obviously the Federal Reserve doesn't want American's owning silver and gold.

 

I do not disagree with your observations on congress and its members. I would love to see the CIA's PET SCAN Lie-detector ran on them about their financial relationships, but then there would only be a few left. I don't think it has anything to do with owning gold or silver, as such transactions are still going to be very legal, except you have to take delivery or agree to delivery with 28 days. There is no additional reporting mentioned for the buyer or seller. I am not sure how many there are like Forex.com that trade physical futures off of the CME. As I read it, there is nothing in it to affect my buying or selling physical PM, or trading on the CME.

Jim

 

Your assuming they read it before voting to pass it.

 

na..

 

Meanwhile, the Treasury (Mint) is vigorously promoting its gold and silver coin programs.
Ah, the Great American Paradox...

 

The banksters own the “Federal” Reserve…it’s only assumed by the vast majority of Americans to be owned by the U.S. Government.

Reminiscent of the Patriot Act, no?

 

How do people come up with this stuff - it doesn't make OTC gold and silver trading illegal? It just puts OTC leveraged or marginal futures contracts under the jurisdiction of the CFTC or SEC and those originating the products to register and prove professional compentency. Wll that is what I came away with after reading.

Its basically an expansion of scope to cover additional transactions not originally addressed in the 2008 Farm Bill. I don't think any of the original commodities effected in 2008 are now illegal to own.

 

Here is an explanation:

http://news.coinupdate.com/you-will...-sell-physical-precious-metals-after-july-15/

TC

 

Here is an excerpt of what I received regarding this issue, from Franklin Sanders, 'MoneyChanger', newsletter: (Perhaps it repeats what someone else has already said, but thought I would post anyway..) (Sorry, I can's seem to downsize the font )

"..Monday, 20 June a.d. 2011 I have now lost count of the emails I have answered about the changes that Zero Hedge pointed out that the Dodd-Frank bill mandates in trading silver & gold over the counter come 15 July. NOW HEAR THIS: the change applies only to margined or leveraged contracts, not to physical metals such as we trade in. This change does NOT mean you will no longer be able to trade in physical silver & gold. It might, however, diminish hedge fund participation for reasons too obscure explain..."