This page has been archived and commenting is disabled.

Gold Falls Just 1.3% Despite Massive, Odd 3.5 Million Ounce Sell Orders

Tyler Durden's picture




 

From GoldCore Gold Bullion

Gold Falls Just 1.3% Despite Massive, Odd 3.5 Million Ounce Sell Orders

Today’s AM fix was USD 1,724.50, EUR 1,327.56, and GBP 1,076.47 per ounce. 
Yesterday’s AM fix was USD 1,741.00, EUR 1,347.00, and GBP 1,087.38 per ounce.

Gold fell $22.10 or 1.27% in New York yesterday and closed at $1,719.20/oz. Silver slipped to a low of $32.92/oz and rallied back, but finished with a loss of 0.91% at $33.69/oz.


Cross Currency Table – (Bloomberg)

Gold recovered somewhat overnight in Asia and again today in Europe despite the sharp selling seen on the COMEX yesterday.

As ever, it is very difficult to pinpoint exactly why gold and all precious metals fell in price. Interestingly, oil fell by even more - NYMEX crude was down by 1% and was down by more than 1.7% at one stage. 

The CME Group, which operates the U.S. COMEX gold futures market, said Wednesday's plunge in gold was not the consequence of a "fat finger" or a human error. The trading wasn’t even fast enough to trigger a pause on Globex, said CME.   

One thing that we can say for certain was that there was massive, concentrated selling as the New York stock markets opened with some 35,000 lots sold which is equivalent to 3.5 million ounces and saw the price fall from $1,735/oz to $1,711/oz between 0825 and 0830 EST.

One sell order alone was believed to be 24 tonnes or 770,000 troy ounces.  Incredibly there was 35% daily volume in just 60 seconds. 

The selling, like all peculiar, counter intuitive, sharp sell offs in recent months, was COMEX driven with COMEX contracts slammed leading to further stop loss selling.

The selling may have been by speculative players on the COMEX. It may have been algo or computer trading driven or tech selling – although this is less likely.

It would be naive to completely discount the possibility that a bullion bank, short the gold and silver markets, may have been trying to protect their large concentrated short positions. The CFTC data shows some bullion banks continue to have massive concentrated short positions - which are still being investigated.

Informed commentators questioned the nature of the selling as a large institutional COMEX trading entity would normally gradually sell a position of this size in order to maximise profit.


Gold Spot $/oz, 3 days 3 minutes – (Bloomberg)

Other speculation was that because of the wholesale liquidation of all precious metals and some other commodities, the selling may have come from a fund forced to sell a range of speculative positions after the SAC Wells notice. 

Futures and options expiration may have also played a role, according to some analysts.

The robustness of gold overnight and recovery this morning is encouraging as normally one would expect to see follow through selling after such a sharp move lower.

The gold mining stocks indices were also higher yesterday which suggests that some precious metal market participants see the move as another mere blip in the precious metal bull markets.

The fundamentals driving the gold market remain very sound with broad based demand - store of wealth, investor, institutional and central bank - continuing to be seen globally. 

There have not been very significant increases in open interest on the COMEX and there is no mania on trading floors and universal bullishness.  

Indeed, this is far from the case today. There continues to be little or no positive coverage of the precious metals in the non specialist financial media. 

While ETF holdings are at record highs - the increase in holdings has been tentative and gradual with no huge jump in demand which would be associated by a market top.

The shoeshine girls and boys have been selling large amounts of gold jewellery in the international phenomenon that is 'cash for gold.' 

Meanwhile figures for mints, refiners and bullion dealers in last quarter show retail investor interest is tepid at best.   


Gold Spot $/oz, Daily – (Bloomberg)

Physical buyers should use the paper playing shenanigans of as yet unidentified players to continue to accumulate on price dips.

Today US GDP for Q3 is released at 1330 GMT.

NEWSWIRE
(Bloomberg) -- Comex Silver Estimated Volume Rises to Highest Since May 2011
Aggregate volume was ~158,580 contracts today, highest since May 12, 2011.

(Bloomberg) -- India’s November Gold Imports Seen at 85-100 Tons, Trade Says
Imports seen higher in November because of festival demand, says Bachhraj Bamalwa, chairman of the All India Gems & Jewellery Trade Federation.

Gold imports by India may decline to between 700t to 750t in 2012 from 969t in 2011 as high prices curb demand.

Gold Fields Ltd., the fourth-biggest producer of the metal, will spin off part of its South African business as a wave of strikes and above-inflation pay gains add to costs and curb output for mining companies in the country.

(Bloomberg) -- IShares Silver Trust Holdings Unchanged at 9,818 Metric Tons
Silver holdings in the IShares Silver Trust, the biggest exchange-traded fund backed by silver, were unchanged at 9,818.07 metric tons as of Nov. 27, according to figures on the company’s website.

================================================================================

                Nov. 27    Nov. 26    Nov. 23    Nov. 21    Nov. 20    Nov. 19

                   2012       2012       2012       2012       2012       2012

================================================================================

Million Ounces  315.658    315.658    315.658    315.658    317.643    318.127

 Daily change         0          0          0 -1,984,433   -484,013 -1,452,093

--------------------------------------------------------------------------------

Metric tons    9,818.07   9,818.07   9,818.07   9,818.07   9,879.80   9,894.85

 Daily change      0.00       0.00       0.00     -61.73     -15.05     -45.16

================================================================================

NOTE: Ounces are troy ounces.

(Bloomberg) -- Gold ETP Holdings Climb to Record for Ninth Straight Session
Amount in exchange-traded products backed by the metal rose 0.1% to 2,615.9 metric tons, data tracked by Bloomberg showed.

(Bloomberg) -- Chow Tai Fook Profit Falls Amid Hedging Losses on Gold Contracts
Chow Tai Fook Jewellery Group Ltd., a Hong Kong-based chain with more revenue than Tiffany & Co., said first-half profit fell 32 percent amid hedging losses on gold contracts

Net income dropped to HK$1.82 billion ($235 million) from HK$2.69 billion for the six months ended Sept. 30, according to a Hong Kong stock exchange filing today. That compares with the median estimate of HK$2.02 billion of four analysts surveyed by Bloomberg News.

(Bloomberg) -- Shanghai Gold Exchange to Start Interbank Gold Trading Dec. 3
Shanghai Gold Exchange will start an inter-bank gold trading system on Dec. 3 on a trial basis, the bourse said in a statement on its website today.

(Bloomberg) -- Gold Outlook Seen Bullish by Deutsche Bank on U.S. Rating Cut
The U.S. probably won’t avoid a Treasury debt downgrade, which is positive for gold, Deutsche Bank AG said.

Gold’s drop yesterday may not have been because of the U.S. fiscal cliff because growth sensitive markets such as the S&P 500 and silver that should have been hit harder didn’t fall as much as gold, Xiao Fu, an analyst at the bank in London, said in a report dated today. “This would suggest that gold was probably reacting to specific gold flow selling,” Fu said in the report. “On this basis, we would see this weakness as temporary particularly since we would view the combination of a debt downgrade and the U.S. avoiding the fiscal cliff as gold price bullish. Indeed events during August 2011 when U.S. Treasury debt was downgraded proved to be unambiguously bullish for gold prices.”

For breaking news and commentary on financial markets and gold, follow us on Twitter.

NEWS

Gold sees mild recovery after big sell-off – Market Watch

Gold inches up after sell-off; U.S. fiscal worries weigh - Reuters

Gold Rebounds on U.S. Budget Optimism, Record Investor Holdings - Bloomberg

Market attributes deflation concerns, technical selling for selloff – Market Watch

COMMENTARY

How Do the Chinese View the Gold Market? – Zero Hedge

China 2015 gold output likely 450 tons - 'Fundamental market shortage' – Market Watch

What the new Bank of England boss means for your money - MoneyWeek

The Biggest Story Of Our Lifetime - MoneyWeek

The Possibility of a Currency Collapse in Japan – Max Keiser

 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Thu, 11/29/2012 - 08:57 | 3019925 GetZeeGold
GetZeeGold's picture

 

 

It only costs $5000 an ounce to keep it under $2000/oz.

 

It's called central planning.

Thu, 11/29/2012 - 09:26 | 3019988 sessinpo
sessinpo's picture

Conversely, to keep your thought and post logical and factual, how much does it cost to keep it over $2000/oz?

Thu, 11/29/2012 - 09:31 | 3020002 HoofHearted
HoofHearted's picture

It costs the huge sum of LETTING MARKETS BE FREE from manipulation.

Thu, 11/29/2012 - 09:52 | 3020066 Enslavethechild...
EnslavethechildrenforBen's picture

How about we all dump our GLD today and buy the physical off the shelves. They would not be able to replace it for weeks, maybe months. That would run the physical price to $10,000 an oz and the paper price to Zerohedge

Thu, 11/29/2012 - 09:55 | 3020074 negative rates
negative rates's picture

Do they need some camels to haul that load off? No, cause it was only a pile of ink, I hope they turn around and buy some physcial with that ink.

Thu, 11/29/2012 - 10:52 | 3020323 caconhma
caconhma's picture

Here, in America, we have a Central Planning Economy with Central Banking Mafia (CBM) at the top.

To control and manipulate the US economy, they must print money at will without creating a runaway inflation, specifically in commodities. America has a huge trade deficit importing huge amount goods and services paid by these printed US$$$. For majority of all these goods and services, US$$$ are used (like in China, Japan, etc.,) to buy commodities (oil, gas, food, copper, etc,). Consequently, Fed must rain in commodities prices; otherwise, Fed cannot print money at-will and manipulate interest rates leading to an economic collapse of the US economy.

Gold is a well known indicator of inflation. Consequently, CBM is using these printing currencies to suppress gold and commodities prices using "paper commodities market operations". It costs nothing to CBM as long as the core inflation is under control and there are no real-physical gold and physical commodities shortages.

The bad news for CBM is that the US and EU economies are becoming more and more parasitic and less and less productive making runaway inflation inevitable especially in agriculture commodities.

 

Thu, 11/29/2012 - 11:31 | 3020431 strannick
strannick's picture

 

CFTC Commisioners Bart Chilton,

Jill Sommers,

Mark Wetjen,

Scott OMalia and

Gary Gensler sit dumbly on their thumbs while markets are manipulated for banks, and collect their bureaucrat salaries for doing nothing and colluding with banks. Hows that silver investigation coming? Still waiting for more convincing evidence?

The CFTC has abbrogated their authority to CME's Jeff Christian, who does whatever his high volume bullion banks -JPMorgan and HSBC tell him.

 

Thu, 11/29/2012 - 11:03 | 3020365 tetsujin
tetsujin's picture

Unfortunately, free markets will always be manipulated. Because, someone out there is almost always a c*nt. We pay for the cost of freedom with manipulation

Thu, 11/29/2012 - 09:30 | 3020003 Snidley Whipsnae
Snidley Whipsnae's picture

how much does it cost to keep it over $2000/oz?

This is a function of how much printing central banks do...

Thu, 11/29/2012 - 09:56 | 3020081 negative rates
negative rates's picture

It doesn't cost anything, it's at $1975/oz, with 3 days to go. 

Thu, 11/29/2012 - 09:58 | 3020088 Right-on Left-off
Right-on Left-off's picture

how much does it cost to keep it over $2000/oz?

The correct answer is nothing.  Doing nothing to this particular market at this time and POG would be over $2000 and continuing to float higher as if by magic.

Thu, 11/29/2012 - 10:09 | 3020136 Right-on Left-off
Right-on Left-off's picture

.... and another thang the 'informed' are not mentioning.  It also took some pretty hefty buyers with mucho big bucks and meat claws to gulp this down so fast BUT who wants to hear about that.

Thu, 11/29/2012 - 10:27 | 3020217 Right-on Left-off
Right-on Left-off's picture

.... Oh and yet another thang.

how much does it cost to keep it over $2000/oz?

The market would actually pay you!  It's called gains/profit. 

Thu, 11/29/2012 - 09:32 | 3020008 kliguy38
kliguy38's picture

Logic??? Now why would someone bring that subject into a discussion about the Central Banks' greatest threat to their fiat ponzi??? Obviously the answer is......YOU have NO gold and believe in your paper assets providing you value. gl wit dat

Thu, 11/29/2012 - 09:46 | 3020052 forwardho
forwardho's picture

Yes! Nailed it

Thu, 11/29/2012 - 09:39 | 3020027 Dre4dwolf
Dre4dwolf's picture

2001$

Thu, 11/29/2012 - 10:25 | 3020209 Bubble
Bubble's picture

Please note, the previous afternoon, someone bought 23000 lots of the Jan Gold 1690puts. Yes 23,000. Very lucky indeed. Or it makes a dip in the price, if that's what you're after, rewarding on many levels.

Thu, 11/29/2012 - 11:57 | 3020566 Overfed
Overfed's picture

Less than $5000.

Thu, 11/29/2012 - 09:42 | 3020030 CPL
CPL's picture

http://usdebtclock.org/gold-demand-by-country.html

 

The mined number doesn't move anymore while everyone is on strike.  Supply and demand side, just for dentistry alone should have pushed gold over the 2000 mark.

Thu, 11/29/2012 - 14:43 | 3021344 JLee2027
JLee2027's picture

Dentistry? So after the Great Reset, the homeless guy with Gold teeth will be richer than Donald Trump? Genius.

Thu, 11/29/2012 - 09:49 | 3020056 Enslavethechild...
EnslavethechildrenforBen's picture

Good point. It may be $20,000 or more per oz...

Thu, 11/29/2012 - 08:58 | 3019927 Manthong
Manthong's picture

How much does that 3.5 million ounces weigh in equivilent electrons?

Thu, 11/29/2012 - 09:04 | 3019948 JPM Hater001
JPM Hater001's picture

We tried to have MDB measure it but he was electrocuted in the process.

Still not dead.

I'll have him try again.

Thu, 11/29/2012 - 11:08 | 3020379 Winston Churchill
Winston Churchill's picture

MDB already admitted being a stacker in one candid post.Was probably drunk.

Take it ,or leave it.

Thu, 11/29/2012 - 12:02 | 3020582 Overfed
Overfed's picture

Ever heard of Avagadro's Number?

Thu, 11/29/2012 - 09:00 | 3019933 Xibalba
Xibalba's picture

See: "My remarks today will focus on the role of central bank interactions with financial markets." -Simon Potter

Thu, 11/29/2012 - 09:00 | 3019934 JustObserving
JustObserving's picture

US markets are a crime not only against small investors but also against common sense. 

Thu, 11/29/2012 - 09:00 | 3019936 AU5K
AU5K's picture

I like to think of it as a gold 'doorbuster' sale.

Thu, 11/29/2012 - 09:04 | 3019946 GetZeeGold
GetZeeGold's picture

 

 

Buy as much as you can.....your grandkids are paying for it.....along with a lot of other people's grandkids.

Thu, 11/29/2012 - 09:32 | 3020006 HoofHearted
HoofHearted's picture

Actually the 35,000 contracts was me. I meant to hit BUY and actually hit SELL. Now I'm screwed. It was a stupid finger and not a fat finger. Sorry everyone. Mea culpa.

Thu, 11/29/2012 - 09:01 | 3019937 JPM Hater001
JPM Hater001's picture

Well, when you trade one paper ounce with 1 physical it's fairly net net anyway.

Thu, 11/29/2012 - 09:02 | 3019944 ClassicCommodity
ClassicCommodity's picture

It's the BIS and its cronies at it again.

Thu, 11/29/2012 - 10:13 | 3020165 Eugend66
Eugend66's picture

You may like to read this:

http://www.bis.org/about/board.htm

The BIS is not about the USD.

Thu, 11/29/2012 - 09:07 | 3019950 Tall Tom
Tall Tom's picture

Has anyone done a study on the correlation between volume sold and subsequent price decrease? I will bet that this is decreasing as the demand tightens. The manipulators are losing it. The squeeze is on. When it happens you will see the paper decouple from Physical. It will be fireworks. Looking forward to a CME Group DEFAULT.

Thu, 11/29/2012 - 09:51 | 3020060 Spitzer
Spitzer's picture

Yeah. Im getting a bit impatient...

Cant somebody just fat finger it accidentally on purpose and get it over with ?

Thu, 11/29/2012 - 09:06 | 3019951 Tall Tom
Tall Tom's picture

Has anyone done a study on the correlation between volume sold and subsequent price decrease? I will bet that this is decreasing as the demand tightens. The manipulators are losing it. The squeeze is on. When it happens you will see the paper decouple from Physical. It will be fireworks. Looking forward to a CME Group DEFAULT.

Thu, 11/29/2012 - 09:11 | 3019954 chubbar
chubbar's picture

Also looking forward to the losers from CFTC, those cocksuckers who sold their soul to the gov't and fucked over their fellow countrymen, to make their excuses for that default.

Thu, 11/29/2012 - 10:11 | 3020150 YungHungAndLegal
YungHungAndLegal's picture

In an attempt to protect me from myself those skatoons just shut down Intrade too.  Suprise Suprise.   Not long after their approval of SIG's new playground at Nadex.

Thu, 11/29/2012 - 09:11 | 3019956 GetZeeGold
GetZeeGold's picture

 

 

The correlation between the national debt and the POG is almost freaky.

 

It's almost like shooting fish in barrel and hunting cows.

Thu, 11/29/2012 - 09:42 | 3020033 forwardho
forwardho's picture

Spot on, One of these days... the papers going to burn... And when the ashes cool you'll have no gold at all.

Thu, 11/29/2012 - 09:09 | 3019953 unwashedmass
unwashedmass's picture

 

Oh. What a mystery. Oh. Who could have done this. Oh. 

Let's ask the CTFC. Oh. Right. They don't look at things like this. 

What a mystery this was. 

Thu, 11/29/2012 - 09:19 | 3019971 Bay of Pigs
Bay of Pigs's picture

Yes, the only thing "odd" or "peculiar" are these folks at GoldCore who apparently still don't get it.

Wake up guys. This has all been explained here at ZH ad naseum for years now.

Thu, 11/29/2012 - 09:33 | 3020010 Snidley Whipsnae
Snidley Whipsnae's picture

The CFTC don't look at it? Sure they look at it... and look at it... and look at it...

Sometimes they look at something for 4 fucking years and still don't do shit about it!

Thu, 11/29/2012 - 10:23 | 3020198 SubjectivObject
SubjectivObject's picture

Thank you Cold Gore for telling us nothing new.

Thu, 11/29/2012 - 11:58 | 3020569 _ConanTheLibert...
_ConanTheLibertarian_'s picture

Maybe is was the CFTC itself. I mean, anything is possible these times really.

Thu, 11/29/2012 - 09:10 | 3019955 earnulf
earnulf's picture

If it looks like duck, walks like a duck and quacks like a duck, it's not a fat finger!

So where exactly did all that gold pop up for purchase at?  Oh right, it's all electronic paper!

silly me, thought it was actually physical being sold instead of stop losses being triggered.

Thu, 11/29/2012 - 09:12 | 3019959 LongSoupLine
LongSoupLine's picture

the fucking CME knows exactly who and why the PM's were clown punched.

 

not only do they k.ow, those crooked fucks at CME/COMEX are in collusion.

 

and fuck you Gensler and all your CFTC fucktards for pretending to be a regulator.  just another division of Goldman...eat shit assholes.

Thu, 11/29/2012 - 09:35 | 3020015 kliguy38
kliguy38's picture

gotta say that is my fav post here today

Thu, 11/29/2012 - 09:13 | 3019960 deKevelioc
deKevelioc's picture

Have to knock gold now before the Fed overtly starts expanding its balance sheet again.

Thu, 11/29/2012 - 09:14 | 3019961 youngman
youngman's picture

I was guilty...I bought some silver yesterday....could not pass up a fat finger buy .......

Thu, 11/29/2012 - 09:16 | 3019965 firstdivision
firstdivision's picture

Well admittedly, 3.5M oz of tungsten really is only like selling 1k oz of gold, so that drop sounds about right.

Thu, 11/29/2012 - 09:19 | 3019968 Anasteus
Anasteus's picture

But it's going to recover swiftly; the bargain hunters have got to work. The underlying fundamentals overall are strong, suppression effects seem to be pretty transient. Any such a bigger down-tick performed recently should be considered a godsend.

Thu, 11/29/2012 - 09:21 | 3019976 mick_richfield
mick_richfield's picture

Why don't we occupy the precious metals markets ?

Why are we watching the 'gold price' and the 'silver price' that we know to be criminally manipulated?

We have the internet now.   New York and London don't need to be choke-points anymore.

Why don't we design a market for the era of the internet, implemented with peer-to-peer technology that cannot, by its design, be controlled centrally by criminals who are aided and sheltered by their employees in 'government' ? 

Does anyone know of any work already done in this area ?

 

 

Thu, 11/29/2012 - 09:23 | 3019983 youngman
youngman's picture

I think it is happening right now in Asia.....soon most of the real metal will be in Asia....then they will takes the reins..forceably I think....as they will call the bluff of our system....

Thu, 11/29/2012 - 09:27 | 3019994 Snidley Whipsnae
Snidley Whipsnae's picture

This... +1 youngman

Thu, 11/29/2012 - 10:00 | 3020098 negative rates
negative rates's picture

Yes, it's called Ebay, and there is about a 15% cost in operating there.

Thu, 11/29/2012 - 12:01 | 3020578 ParkAveFlasher
ParkAveFlasher's picture

In the case of eBay, their cut is an insurance policy that shady practices will be curtailed by their review system.  And yet, there are still no guarantees.

Let the buyer beware is the law of the land.

Thu, 11/29/2012 - 09:28 | 3019990 JustObserving
JustObserving's picture

They will never allow it. I am surprised that ZH did not cover this.

 

Betting Site Intrade Shutting Down For U.S. Customers

4:48 PM EST, MONDAY NOVEMBER 26, 2012

Intrade, a website dedicated to online trades and bets, announced on Monday that it would no longer allow U.S. customers to participate in its exchange. The announcement comes following a lawsuit filed earlier today by the U.S. Commodity Futures Trading Commission, which regulates the trading of futures contracts. The agency took issue with the fact that Intrade offered trading to U.S. customers on the future prices of commodities such as gold and crude oil, despite a previous agreement not to do so.

http://livewire.talkingpointsmemo.com/entry/betting-site-intrade-shuttin...

 

Thu, 11/29/2012 - 09:42 | 3020034 mick_richfield
mick_richfield's picture

There is no "allow" involved in peer-to-peer.  If you do it right, the only way to stop it is to shut down the power grid.

 

Which, I suppose, is a possibility...

Thu, 11/29/2012 - 09:42 | 3020038 Bicycle Repairman
Bicycle Repairman's picture

A simple formula: use the "law" to stop any free market "solutions".  

I say again: when the market does not serve the interests of the state it will be proscribed.  For the empire it is total victory or total collapse.

And now I'm going back to my bunker.

Thu, 11/29/2012 - 10:44 | 3020292 Anasteus
Anasteus's picture

Sadly, Americans are being excluded from the internet access to more and more services; they cannot open many bank accounts worldwide or are cut off from services like that you are mentioning. It's a question of time when this happens to Europeans too. Sooner or later we'll all join communist China in the same degree of restrictions.

The service seems to be a legitimate tool of share exchange based solely on free market needs not connected to or requiring any necessary assistance from the official financial centers. If even this is considered endangering the 'official market' then they are becoming nervous and unsure about the proclaimed stability of the official system.

Thu, 11/29/2012 - 13:57 | 3021063 Gazooks
Gazooks's picture

BD's Nucleo Exchange has been around for a decade as a micro market model. 4% transaction fee for peer to peer trades still, I believe.

 

http://www.bulliondirect.com/nucleo/showProducts.do;jsessionid=2FF925C9F...

Thu, 11/29/2012 - 09:25 | 3019978 swissaustrian
swissaustrian's picture

Explanation: Op/ex related buying (last Friday) vs. selling (yesterday). Very simple.

Read more on op/ex manipulation here: http://www.pmbug.com/forum/f2/options-expiry-manipulation-gold-price-one...

Thu, 11/29/2012 - 09:45 | 3020045 IEVI
IEVI's picture

That would make sense except for one thing. Why sell all it all in five minutes?

"35,000 lots sold which is equivalent to 3.5 million ounces and saw the price fall from $1,735/oz to $1,711/oz between 0825 and 0830 EST"

Why not take your time and get a better price?

The only reason to sell it all at once is to intentionally drive the price lower.

Thu, 11/29/2012 - 10:11 | 3020145 forwardho
forwardho's picture

When you place sell order, for 35 or 35.000 lots at $1735 that is what you get. the is price locked in if trading options. All contracts are honored at "sell" ask price. This is paper, what happens to market price after trade is irrelevent.

Thu, 11/29/2012 - 11:17 | 3020398 ActionFive
ActionFive's picture

You might get your price for 35.000 @ $1735 / not for 35,000 futures.

 

 

Thu, 11/29/2012 - 09:22 | 3019980 DavosSherman
DavosSherman's picture

It was fucking expiration day.  Same shit, different month.

Thu, 11/29/2012 - 09:54 | 3020073 Spitzer
Spitzer's picture

No it happened the day after options exp this time I thought...

Thu, 11/29/2012 - 09:31 | 3019991 Bay of Pigs
Bay of Pigs's picture

"While ETF holdings are at record highs - the increase in holdings has been tentative and gradual with no huge jump in demand which would be associated by a market top."

And moar Bankster paper gold ETF propaganda isn't going to help you around here either. These vehicles and their numbers cannot be trusted at all. GLD and SLV are a fucking joke.

Thu, 11/29/2012 - 09:28 | 3019996 10044
10044's picture

The "honorable" Gary Gensler could not be reached to comment

Thu, 11/29/2012 - 09:29 | 3019999 Kina
Kina's picture

Im standing delivery for that 24 tons.

Thu, 11/29/2012 - 09:30 | 3020001 Enslavethechild...
EnslavethechildrenforBen's picture

If everyone cashed out of GLD, SLV, PPLt and PALL on the same day, the prices of all the metals would find their actual value, about 10 times higher than their current fictional value

Thu, 11/29/2012 - 09:36 | 3020019 Snidley Whipsnae
Snidley Whipsnae's picture

Nice overnight recovery continuing into today...

http://finviz.com/futures_charts.ashx?t=GC&p=m5

Thu, 11/29/2012 - 10:05 | 3020024 Anasteus
Anasteus's picture

One day before the recent fall the gold lease rates plunged all to negative area, even the longer term ones (6 months/1 year rates). It happened several times this month but not to such an extent as on 26. November. The gold price plunge was apparently prepared (also) by decreasing the lease rates for subsequent orchestrated excessive swaps. The ratios seem to act as a forward indicator allowing to predict the next planned plunge. It's worth noticing.

The fact that such a massive swapping is insufficient to pressure the price to a more sustainable lower level would indicate growing difficulties the suppression efforts are facing.

Thu, 11/29/2012 - 09:38 | 3020025 youngman
youngman's picture

Exact same time today...here they go again...they don´t even try to disquise it???

Thu, 11/29/2012 - 09:41 | 3020032 Snidley Whipsnae
Snidley Whipsnae's picture

Silver back over $34

http://finviz.com/forex.ashx

Thu, 11/29/2012 - 11:41 | 3020490 Anasteus
Anasteus's picture

Well, silver is already recovered, it's even above the pre-plunge level :-)

Wild beast, that silver... bad hunter, that JPM.

Thu, 11/29/2012 - 09:43 | 3020041 GetZeeGold
GetZeeGold's picture

 

 

The situation clearly calls for all out panic.

Thu, 11/29/2012 - 09:45 | 3020049 Bay of Pigs
Bay of Pigs's picture

I've been watching that same pattern for 12 years...LOL

Thu, 11/29/2012 - 10:07 | 3020127 youngman
youngman's picture

Stopped it.....much faster today....their raids are not working

Thu, 11/29/2012 - 09:43 | 3020037 unwashedmass
unwashedmass's picture

Jesus...could we all just be honest about what's going on here? Tomorrow is first delivery notice .....cue jaws theme. 

JPM's tit is in the wringer with silver. They don't have the silver to deliver, and the Open Interest is now staggering. 

The goal here was to take down silver. HARD. 

It didn't work. Silver is back up to almost 34, and when we see the figures today on yesterday's trading, OI might not have budged. 

What we need is people standing strong in the face of the manipulation. 

The CTFC knows what's going on.....and is part of the scam. 

JPM certainly knows what's happening and has free rein to "fix" it ....free pass from CME, CTFC. 

Anyone who doesn't understand what's happening shouldn't be doing anything other than buying bullion, taking delivery and sitting tight. 

We all need to understand that these two markets --- the "free market" for gold and silver, the publicly announced prices for gold and silver that don't apply anywhere EXCEPT on the Comex -- are completely dictated by the needs of the big banks sitting out on the ledge trying to maintain control. 

Meanwhile, those of us who do know what's happening should be taking full advantage of the insane doorbuster specials on the metals....

better than any gigunda screen TV....with what's coming down the road when this all implodes, anyone who buys now will be able to buy a gigunda screen TV store when its over. 

Thu, 11/29/2012 - 09:46 | 3020048 unwashedmass
unwashedmass's picture

might add that the metals stocks were also slaughtered yesterday, and we are beyond blood in the streets there now.....all to "make things happen" for our glorious overlords....

the doorbuster specials in metals stocks are beyond astounding now with many selling UNDER their book values (which are depressed as well due to the manipulation of gold/silver prices)....

jes' saying......

Thu, 11/29/2012 - 09:52 | 3020067 forwardho
forwardho's picture

You Sir, are a prince among men.

Thu, 11/29/2012 - 10:46 | 3020296 Svendblaaskaeg
Svendblaaskaeg's picture

The artist former known as Prince among men

Thu, 11/29/2012 - 09:52 | 3020065 tuku2400
tuku2400's picture

SAC

Thu, 11/29/2012 - 09:56 | 3020077 Ignorance is bliss
Ignorance is bliss's picture

The manipulation effect of these huge short trades are getting shorter and shorter in duration. At some point you look at the massive amounts of FRNs dumped into the manipulation and it buys you very little. I believe the other side of the trade is converting the paper into physical. How long can this continue? It's certainly not about collecting FRNs, the Chinese Gov't and the PTB certainly have enough of those. Its about physical, and the U.S. Gov't supporting JPM. The U.S. Gov't likes JPM and wants to keep them around for a while, and by proxy the U.S. Dollar ponzi. They can't escape the massive shorts. What a bunch of idiots. Its obvious whether you calculate the debt as 16 plus trillion or 99 + trillion or beyond that the dollar is dead man walking. So why trade a bunch of worthless FRNs for U.S. Gold and Silver? To keep the U.S. fantasy going a little longer. Just how bad was the Soviet collapse?

Thu, 11/29/2012 - 09:59 | 3020094 spartan speculation
spartan speculation's picture

3.5 million ounces sold all at once ?? how any can any regulator say that this was a real up and up trade ?? its obvious manipulation. anyone who was selling a long would never flood the market with this much supply within MINUTES, they would spread them out over days atleast. as for a short seller,  3.5 million oz's @1700 is 6 billion dollars of exposure who has 6 billion in capital to try something so wreckless ? 

 

i dont trade metals on paper markets, i only buy the physical to store value so this is actually a gift to people like me but when you see trades like this one and the s&p futures last night happen over and over again you just wonder what the hells going on. 

Thu, 11/29/2012 - 10:03 | 3020105 chibato
chibato's picture

Shenanigans like this, along with reading ZH over the last few years, have completely changed my mindset wrt PMs.  I now only buy to stack away for another day, and not to buy a little here and sell a little there.  I think of it more as a collection now, one I am not going to part with anytime soon.  Bad news for any banker wanting access to my physical stash.  

Thu, 11/29/2012 - 10:13 | 3020164 unwashedmass
unwashedmass's picture

same here. gets to the point where we haven't had a manipulation in a month or so, and i find myself salivating in anticipation. 

Thu, 11/29/2012 - 10:03 | 3020109 marginview
marginview's picture

Poor old goldcore still waiting for gold to go hyperbolic. Using oratorical phrases like 'The shoeshine girls and boys ..' doesn't mean you are the smart money either. Purchase another report from DR constantin gurdjieff PHD and he'll tell you why.

Zerohedge need some more reliable gold commentators.

Thu, 11/29/2012 - 10:07 | 3020124 fuu
fuu's picture

"The CFTC data shows some bullion banks continue to have massive concentrated short positions - which are still being investigated."

Lulz. C'mon Jamie, get Blythe to sell 350,000 contracts today. You little bitches.

Thu, 11/29/2012 - 10:07 | 3020128 edifice
edifice's picture

While the others at work took off to buy lottery tickets, I took off to buy a couple of gold Eagles from the coin shop. Couldn't help myself.

Thu, 11/29/2012 - 10:12 | 3020154 jomama
jomama's picture

yeah, ok.

they probably only bought 5 bennybux worth.

Thu, 11/29/2012 - 10:26 | 3020213 edifice
edifice's picture

In aggregate, that's a lot of BennyBux. :)

Thu, 11/29/2012 - 10:09 | 3020139 Volaille de Bresse
Volaille de Bresse's picture

"Who will be the last clown to bring the house down?"

SUPERTRAMP - "If Everyone Was Listening"

Thu, 11/29/2012 - 10:18 | 3020178 lindaamick
lindaamick's picture

This is just one more example that can be used to exemplify why eliminating/privatizing social security should be protested against by all Americans.

If Privatized, Wall Street will manage and OWN all monies put into the system by the labor class. 

As we have seen, invested monies are subject to extreme losses at every moment. 

Social Security AT LEAST guarantees Americans some steady income in old age. 

Wall Street can not be trusted with any monies from American citizens due to them stealing every penny they can get away with AND having the might to modify laws decriminalizing their activities.

Thu, 11/29/2012 - 10:57 | 3020348 Beam Me Up Scotty
Beam Me Up Scotty's picture

"Social Security AT LEAST guarantees Americans some steady income in old age"

Social Security is a horrible investment for anyone with half a brain.  It doesn't guarantee anything.  Sure, you will get your money, because they can print it to give it to seniors.  But the government doesnt have the money either, they spent it.  The trust fund is full of IOU's.  So now, they rely on incoming taxes to pay benefits, and the income stream is falling.  What happens when it goes negative? 

The only solution is a SS tax increase or extend retirement age or both.  If you are 40 years old, you will have to work another 5 years just to get your benefits and they will be forced to pay it to you with inflated dollars.  And they won't adjust the COLA to go up as fast as inflation is, of that you can be sure.  So you are basically giving the government your money today for them to give you about 75 cents of it back in the future.

The jokes on you Linda.  Actually, the joke is on all of us.

Thu, 11/29/2012 - 10:20 | 3020190 rsnoble
rsnoble's picture

Then again maybe gold is going to crash with the rest of the market like it did last time.

Thu, 11/29/2012 - 10:31 | 3020243 Toronto Kid
Toronto Kid's picture

I hope the price of gold crashes soon - I'd like buy a few more coins.

Thu, 11/29/2012 - 10:47 | 3020306 markar
markar's picture

Makes perfect sense to me. Especialy with central banks and bullion banks scrambling to get their hands on the little amount available through any means possible.

 

sarc/orr

Thu, 11/29/2012 - 11:45 | 3020518 Urban Redneck
Urban Redneck's picture

perhaps, but if finding large quantities of physical near the paper price is difficult at the current price, then it would be more difficult (and the difficulty would spread to lower volumes) at a lower paper price

Thu, 11/29/2012 - 10:31 | 3020246 casaananda
casaananda's picture

Gry Gensler is just a little prick. Look at him! A prick. You gotta wonder what he did to get any sort of job, but I guess a Yale degree helped.

 

Thu, 11/29/2012 - 10:55 | 3020335 MillionDollarIdiot
MillionDollarIdiot's picture

 

Hi All,

Andrew maguire will be speaking on this TA webinar on Wed, its free but limited spaces so sign up early.

https://www1.gotomeeting.com/register/240678176

Cheers,

 

HAWK 

Thu, 11/29/2012 - 11:01 | 3020360 Downtoolong
Downtoolong's picture

The selling may have been by speculative players on the COMEX. It may have been algo or computer trading driven or tech selling – although this is less likely.

Are we really supposed to believe they don't know? Or is it more likely they just don't want to say? I bet if I did it, my face would be all over the papers today, as the SEC and COMEX suspended my trading pending investigations of market manipulation. 

 

Thu, 11/29/2012 - 11:13 | 3020393 FunkyOldGeezer
FunkyOldGeezer's picture

China buying and selling paper to get better pricing for physical?

Thu, 11/29/2012 - 11:25 | 3020428 Uncle Remus
Uncle Remus's picture

Precious, Bitchez.

Thu, 11/29/2012 - 11:37 | 3020488 ThisIsBob
ThisIsBob's picture

The butterfly may have flapped its wing in Eqypt.

Thu, 11/29/2012 - 11:55 | 3020550 LostAtSea
LostAtSea's picture

Linda, I would rather have the option of keeping my SS holdings to invest as I see best for my self, than have it forceably taken from me.  Yea, I don't expect to ever get any of that money back.

Thu, 11/29/2012 - 13:11 | 3020885 Bam_Man
Bam_Man's picture

Sure looks like "they" desperately wanted to shake weak hands out of long positions ONE DAY before first delivery notice.

Now why would "they" do that? Hmmmmmmm...

Thu, 11/29/2012 - 14:21 | 3021225 snakeboat
snakeboat's picture

I watched the 1960s Italian Job yesterday... still wanna know how they got out of that cliffhanger

Thu, 11/29/2012 - 16:10 | 3021657 Duffminster
Duffminster's picture

In my opinion this was a classic bullion bank orchestrated "damp the enthusiasm" move timed to shake the weak hands out.  With CME Declaring Force Majeure at Manhattan Gold Depository for gold delivery and the shenanigans with the increasing opacity in the LMBA and in regard to the physical disposition of metals in the largest PM ETFs, there are is plenty of smoke to indicate that those with vested state interest in keeping gold and silver prices from rising to their natural levels is becoming increasingly desperate.  

There are plenty of other smoke signals indicating that there are physical shortages in the metals markets and particularly in silver.   Independent data such as that from Sandeep Jaitly's "Bullion Basis Service" has indicated backwardization in silver the London Bullion Market Association stopped publishing its Silver Forwarding Rate (SIFO) data in November of last year. 

It is clear to me that the decreasing transparency being provided by the exchanges and prospectus on some of the Gold and Silver ETF's coupled with a close look at who the custodians of the metals for these ETF's are and how large and concentrated their short positions of these custodians in the metals futures markets are, begin to show an increasing level of desperation as the ultimate conditions of the physical reality of backwardization begin to beyond the reach of manipulation and obfuscation.   As the traders and hedge funds begin to deduce the actual situation on the playing field and the tactics being employed, the game will be up.   For now, it remains a defensive game by the official long shorts that seek to hide the decaying basis for fiat currency through gold and silver price suppression but the physics of economic reality can only be manipulated so long in my opinion. 

This link to an article posted on GATA brings some significant information for consideration as to the whether silver is in fact (and has been) in backwardization for quite some time.  I always seem to be near the end of these threads. 

Do NOT follow this link or you will be banned from the site!