25 November 2014

Gold Daily and Silver Weekly Charts - Refreshing Resilience

Gold and silver held their prices well today with silver actually gaining some ground. Not bad for the day after a Comex option expiration.

This Friday the December contract becomes active on first notice, so we might see some changes in open interest.

Not much to report in the delivery category, but the Comex warehouse show the continued drip, drip of bullion out of their domains.

There is a nor'easter moving up the eastern seaboard now that will be arriving in the New York metropolitan area tomorrow morning.  It will be bring snow to the western and northern suburbs, which may dampen an already quiet trading day before the four day holiday weekend.
Goldman, HSBC, and BASF have been accused of rigging the price of platinum and palladium.  Gold and silver must be the only two global markets that haven't been rigged, if one is to believe that sort of thing.
But we know that they have been, and continue to be.  And that there will be consequences.
Have a pleasant evening.


SP 500 and NDX Futures Daily Charts - Big Wheel Keep On Turning

The GDP estimate came in on the high side revision today showing what a marvelous recovery we are enjoying.

Too bad not much else is showing growth. Maybe this is one of those recoveries that is localized to the well-to-do.

The market is drifting higher on low volumes, and do not expect tomorrow to be much different 'unless something happens.

Have a pleasant evening.

24 November 2014

Gold Daily and Silver Weekly Charts - Quiet Options Expiration on the Comex

Today was the last option expiration for 2014 Comex precious metal options.

Gold and silver were under slight pressure most of the day, but closed largely unchanged. Gold was down about five dollars while silver was up a penny.

Let's see how the trade winds down this week.

A nor'easter is expected to work its way up the east coast of the US this week. There is some uncertainly but we may be seeing a substantial winter storm in the New Jersey-New York-New England area on Wednesday, so I would expect the adults to leave on Tuesday for a long holiday weekend. The Wednesday before Thanksgiving is the biggest travel day of the year.

Have a pleasant evening.


SP 500 and NDX Futures Daily Charts

Lack of hard economic data and a light holiday week trade had stocks drifting with an upward bias.

The second estimate of 3Q GDP will be given tomorrow.

The grand jury decision in the police shooting of Michael Brown should be released shortly.

Have a pleasant evening.


21 November 2014

China SGE Gold Withdrawals For Week 52 Tonnes

The Shanghai Gold Exchange withdrawals were 52.26 tonnes for the week ending 14 November.

To put this into perspective, there are a total of 27 tonnes of gold bullion in the registered 'deliverable' at these prices category in all the Comex warehouses now. 
That's only a few days supply work in Shanghai.  
The point of this, of course, is that as a price discovery mechanism the Comex hardly merits the title anymore relative to the new physical markets in Asia since so little bullion is actually changing hands and being withdrawn, and their leverage is so high. 
Compared to China it is like a game of Liar's poker.  And how apt that comparison might be.

Gold Daily and Silver Weekly Charts - Comex Option Expiration Monday

 We Do Not Give Thanks.  We Always Deserve More.
Next week will be a short trading week because of the US Thanksgiving holiday.

Monday will be the last Comex option expiration for the year, for the December contract. We may wish to brace for shenanigans.   We are reaching a more critical point in the markets, but do not, absolutely do not, expect this to be easy.  
The big changes come when we least expect them, and then as a thief in the night.  Betting on short timeframes with leveraged bets is a losing trade 99 times out of 100.  And if you hit it big one time, you may chase that adrenalin high again and again, until you are exhausted by the time things really break your way.

Gold and silver continue to dribble out of the Comex warehouses. For a quiet month we saw a bit of gold taken out of New York.

There was some very interesting news today.  I featured both items.
As it turns out while Germany was waiting and the Swiss are considering their decision, the Dutch managed to quietly, some say secretly, repatriate a good chunk of their gold from New York back to Amsterdam.   From their glory days roaming the world the Dutch understand that possession is nine-tenths of the law.

We also heard Senator Carl Levin criticize the Federal Reserve for enabling the Banks obtrusive entry into the commodity markets, where they were faced with a candy store of opportunities to manipulate prices, obtain inside information, and to basically fill their own greedy pockets by using subsidized funds from the Fed. 

Levin may as well have turned to his colleagues on the Hill and shamed them as well.

Until there is reform, there will be no recovery.
Nobody wins unless everybody wins. 

Have a pleasant weekend.