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It's That "Sell Precious Metals" Time Of Day

Tyler Durden's picture


Just like yesterday, as we head into the European close it seems someone somewhere has the dire need to reduce exposure to precious metals in a hurry... Collateral calls? Cash calls across month-end? Who knows?



Chart: Bloomberg


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Fri, 11/30/2012 - 12:06 | 3023767 dereksatkinson
dereksatkinson's picture

They are just rolling contracts.

Fri, 11/30/2012 - 12:10 | 3023779 kliguy38
kliguy38's picture

Yeh sure......and Gensler's and Chilton are rolling doobees

Fri, 11/30/2012 - 12:18 | 3023813 fonestar
fonestar's picture

I guess TPTB think I care how many Clown Bux I could get for my stacks?

(I'll give you Boyz a hint.... I don't)

Fri, 11/30/2012 - 12:30 | 3023886 Ghordius
Ghordius's picture

the sound of the fiat fractional reserve banking MegaBank hammers striking the metals

Wagner wrote music for it in Siegfried / Ring des Nibelungen - perhaps Ms Blythe listens it when she... ?

Fri, 11/30/2012 - 13:06 | 3024016 Stackers
Stackers's picture

Naked selling of something you dont even have to raise capital ? ... Bo knows

Fri, 11/30/2012 - 12:53 | 3023980 crusty curmudgeon
crusty curmudgeon's picture

I wish this would happen with the price of gasoline too.

And milk.  And eggs.  Oh, and alcohol too.  And ammunition.

Let's trade paper ammunition contracts!

Fri, 11/30/2012 - 14:14 | 3024245 FEDbuster
FEDbuster's picture

Sure would be nice, if Jamie would put some big shorts on gasoline futures.  Would like to see some sub $3 gas for most of next year.

Fri, 11/30/2012 - 15:01 | 3024436 Svendblaaskaeg
Svendblaaskaeg's picture

"Let's trade paper ammunition contracts!"

Paper patched bullets bitchez!

Sun, 12/02/2012 - 16:02 | 3028305 Catflappo
Catflappo's picture

I might go and hold up a bank with a ream of A4

Fri, 11/30/2012 - 13:22 | 3024078 azzhatter
azzhatter's picture

Man, I love the clanking of my silver coins when I count them. And the gold ones shine so purty. I love my stacks

Sat, 12/01/2012 - 00:52 | 3025936 OpenThePodBayDoorHAL
Fri, 11/30/2012 - 12:27 | 3023864 jt17
jt17's picture

Dereksatkinson is right.  Do you even know what rolling contracts is all about?

Fri, 11/30/2012 - 13:06 | 3024013 SilverDOG
SilverDOG's picture


Attributing for and as such is foolhardy.

Of course one must discontinue supply and demand quotient, among others.

Plenty of paper for rolling bra.

Serfs up.

Fri, 11/30/2012 - 12:15 | 3023803 Diet Coke and F...
Diet Coke and Floozies's picture

It's the end of the month, I got to pay the rent...

Fri, 11/30/2012 - 12:19 | 3023815 Quintus
Quintus's picture

I'm new here, but does 'Rolling Contracts' not involve, you know, buying new contracts as well as just selling?


Fri, 11/30/2012 - 12:46 | 3023951 EscapeKey
EscapeKey's picture

having to roll contracts is not something which sneaks up upon you, with you having to dump a large amount thereby ensuring the worst possible price possible - not unless you want to be handed your p45, anyway.

Fri, 11/30/2012 - 12:57 | 3023998 Quintus
Quintus's picture

Precisely.  This has F*** all to do with rolling contracts.

Fri, 11/30/2012 - 13:09 | 3024015 CPL
CPL's picture

I see it more as day trading, the pattern is there.  Starts at the beginning of the session and the book gets closed at the end of session.


Scalping trades with leverage.

Fri, 11/30/2012 - 12:55 | 3023990 SilverDOG
SilverDOG's picture



Sure "they" are.

"20 in the front, 40 in the rear" - Hustle n Flow

You lust rolling over for your financial prostate check up.

Just rolling over and paying for it.

Butt butt butt !?  exactly.

Fri, 11/30/2012 - 13:04 | 3024010 CPL
CPL's picture

They are rolling leveraged contracts in what appears to be a day trading pattern.  12 days in a row.


Now how to cut their nuts off for any of you stupid enough to hold paper gold or silver that wish to defend your share value.


  1. Log into trade account.
  2. Jack the sell price of your Gold and Silver paper shares to a million per share.
  3. Set as a Good Until Canceled Trade
  4. Profit!!!...well maybe, but it's one way that I've been foiled in a short sale before.  One bastard has a single share jacked up to some outrageous number and I have to pay attention to what I'm buying to close my book.  Think of it as a seeding the financial landscape with price point landmines.


If TPTB is playing a daily spread want to close their books at the end of the session they have to purchase the shares available.  Law of averages dicatates one of you will eventually rob that trader blind because they got greedy and sloppy.


Fri, 11/30/2012 - 12:07 | 3023769 valkir
valkir's picture

There is no manipulation.Market is free.






Fri, 11/30/2012 - 12:35 | 3023912 GERxit
GERxit's picture

fuck those fuckin fuckers!


/no sarc

Fri, 11/30/2012 - 12:08 | 3023772 VonManstein
VonManstein's picture

Nothing unusual then..

Im more interested in the relentless bid under DAX. Any thoughts?

Fri, 11/30/2012 - 12:09 | 3023774 buzzsaw99
buzzsaw99's picture

I would argue that gold is being manipulated higher.

Fri, 11/30/2012 - 12:27 | 3023861 ParkAveFlasher
ParkAveFlasher's picture

Everything is manipulated.  Even the weather.  +1

Fri, 11/30/2012 - 12:46 | 3023953 edifice
edifice's picture

It's almost Christmas. HAARP, the herald angels sing...

Fri, 11/30/2012 - 12:29 | 3023873 Itch
Itch's picture

You would...but you have not.

Fri, 11/30/2012 - 12:38 | 3023907 buzzsaw99
buzzsaw99's picture

some would say that every time gold touches 1730 someone sells. i say that every time it touches exactly 1714 someone immediately buys it all the way back up. that is obviously someone putting a floor under it for nefarious reasons.

Fri, 11/30/2012 - 12:39 | 3023929 ParkAveFlasher
ParkAveFlasher's picture

I hope you're right, cuz I'm sittin' tight.

Fri, 11/30/2012 - 12:50 | 3023970 debtor of last ...
debtor of last resort's picture

Preventing phyz stackers stacking too much. Physical metals shortage is what they are afraid of. Keep it steady, capsizing to the left is not good, to the right is not good....


Fri, 11/30/2012 - 13:01 | 3024005 buzzsaw99
buzzsaw99's picture


Fri, 11/30/2012 - 13:31 | 3024103 Ghordius
Ghordius's picture

volatility. don't ever forget volatility. because the very moneyness of anything lies in it's price stability

and so Blythe has to shake her babies or they become (too much) money

Fri, 11/30/2012 - 14:18 | 3024265 ParkAveFlasher
ParkAveFlasher's picture

Stackers don't care if it's $1710 or $1750. 

Unless you mean BIG stackers.

Fri, 11/30/2012 - 15:09 | 3024391 debtor of last ...
debtor of last resort's picture

True. The smaller the hits down, the smaller the rumors. As goes for up movements. Paper can always be manipulated, no matter what happens. I believe in the threat of shortages. By keeping paper prices steady they attract less attention. There's too much 'physical shortage talk' lately. Like not being able to deliver one month after Sandy.

Fri, 11/30/2012 - 12:49 | 3023964 SilverDOG
SilverDOG's picture



MMmmm yes! By printing and fat finger digital currency creation.




Sun, 12/02/2012 - 16:04 | 3028310 Catflappo
Catflappo's picture

And let me guess, you think that equities are being manipulated lower too, right?

Fri, 11/30/2012 - 12:13 | 3023783 Downtoolong
Downtoolong's picture

Collateral calls? Cash calls across month-end? Who knows?

Derivative settlements too. And last and least likely on the list...real physical supply and demand.

It's not even really a gold and silver market. It's just another pseudo money and credit market.

Fri, 11/30/2012 - 12:12 | 3023787 Tsar Pointless
Tsar Pointless's picture

Who cares?

Fri, 11/30/2012 - 12:24 | 3023848 Long-John-Silver
Long-John-Silver's picture

I do! I know when to be ready to hit the BUY button.

Fri, 11/30/2012 - 12:12 | 3023788 Cognitive Dissonance
Cognitive Dissonance's picture


<Can't let the plebs see the "tell" hanging out there.>

Fri, 11/30/2012 - 12:13 | 3023789 fonzannoon
fonzannoon's picture

I will float a complete theory that I cannot back up with anything. As part of the stupid cliff they raise the cap gains on "collectables" as a way to get the 1% to "contribute" their fair share. Say they raise the cap gains to 35%-40%. So that goes not only for art, but precious metals and securities that invest in them. The people in the know are heading for the exits now as a result. Total guess.

Fri, 11/30/2012 - 12:51 | 3023974 Pool Shark
Pool Shark's picture



Drat! I guess this means I'll have to don the scuba gear and make a trip to the bottom of the lake...


Fri, 11/30/2012 - 12:56 | 3023994 WestVillageIdiot
WestVillageIdiot's picture

And the Chinese and Indians will send a "Thank You" note to our worthless congressmen and women. 

Fri, 11/30/2012 - 12:12 | 3023792 edb5s
edb5s's picture

Well, this really ruined my bid to win that 10 oz silver bar by guessing month-end price.  I had $34.45.

Fri, 11/30/2012 - 12:13 | 3023793 FranSix
FranSix's picture

If you so happen to sell off gold, and the reaction is that you get higher gold prices because more people are taking delivery, then you are in matter of fact depreciating your currency.

I think gold is being sold for this purpose, but there might be an announcement coming that people are unaware of, namely that to avert a currency disaster, they will set a fixed gold price in advance of negative nominal rates regimes.  Once the gold price is fixed, then they can devalue against bullion, but also stabilize foreign exchange markets.

Think it can't happen?

Fri, 11/30/2012 - 12:15 | 3023800 Confundido
Confundido's picture

You need to GLOBALLY confiscate, for that to occur. And if the GLOBAL confiscation fails, the country that looks to fix it to its currency, is automatically screwed. It's a dangerous move.

Fri, 11/30/2012 - 12:34 | 3023911 FranSix
FranSix's picture

Actually, confiscation might not be the end game, because central banks already own most of the gold, anyway.  Central banks can just print money and then offer to buy gold after devaluation occurs.

The U.S. and Europe all together hold substantial quantities of gold in their central banks, so if they fixed gold first @$2000/oz. and then devalued to $3500/oz.  they will have solved a major problem that has been staring them in the face for over 10 years.

Either than, or gold prices are being manipulated upwards so that devaluation can occur.  I can see confiscation happening in China, and Russia, since they have already set in motion central bank purchasing programmes of all gold production in country and no exporting.

Fri, 11/30/2012 - 12:13 | 3023794 Confundido
Confundido's picture

10am to 11am ET: Time to buy

Fri, 11/30/2012 - 12:14 | 3023795 Wakanda
Wakanda's picture

Just a little gift to the Asians from the boyz in NYC.

Fri, 11/30/2012 - 12:14 | 3023796 knukles
knukles's picture

No, absolutely NO non-commercial entity sells any volume contracts (or any other asset for that matter) in such an open, enormous, unprofessional, sloppy, meat handed manner. 

Whoever is doing this or whoever's agent is acting on their behalf is openly attempting to influence the markets, send a message, muscle prices down, protect shorts or some other nefarious motivation.

Ant trader at a commercial entity acting in such a manner for other than a manipulative manner or a non-commercial intent, would be fired, dismissed, tarred and feathered, boiled in oil and sent to your worst enemy to fuck up his operation.


Fri, 11/30/2012 - 13:23 | 3024085 Bay of Pigs
Bay of Pigs's picture

Yes knuckles, most of the day traders and paper humpers don't know jack shit about the gold market, historically speaking.

For instance, who makes the London Fix? Well, that would be conducted by the representatives of five bullion banks, namely HSBC, Deutsche Bank, Scotia Mocatta, Societe Generale, and Barclays (an honest and well respected group). Before that, it goes back to 1919 when the major London gold dealers decided to get together in the offices of N.M. Rothschild to "fix" the daily price.



Fri, 11/30/2012 - 13:37 | 3024117 Kaiser Sousa
Kaiser Sousa's picture

its all simply coincidence....right.....RIGHT!!!!!!!


"American consumers have shown about as much appetite for the $1 coin as kids do their spinach. They may not know what's best for them either. Congressional auditors say doing away with dollar bills entirely and replacing them with dollar coins could save taxpayers some $4.4 billion over the next 30 years.

Vending machine operators have long championed the use of $1 coins because they don't jam the machines, cutting down on repair costs and lost sales. But most people don't seem to like carrying them. In the past five years, the U.S. Mint has produced 2.4 billion Presidential $1 coins. Most are stored by the Federal Reserve, and production was suspended about a year ago.

The latest projection from the Government Accountability Office on the potential savings from switching to dollar coins entirely comes as lawmakers begin exploring new ways for the government to save money by changing the money itself.

The Mint is preparing a report for Congress showing how changes in the metal content of coins could save money.

The last time the government made major metallurgical changes in U.S. coins was nearly 50 years ago when Congress directed the Mint to remove silver from dimes and quarters and to reduce its content in half dollar coins. Now, Congress is looking at new changes in response to rising prices for copper and nickel." At a House subcommittee hearing Thursday, the focus was on two approaches:

—Moving to less expensive combinations of metals like steel, aluminum and zinc."

Fri, 11/30/2012 - 14:22 | 3024281 FEDbuster
FEDbuster's picture

Wonder if Kyle Bass still has his $1 million in nickels?  Stock up while you can.  My guess is the dollar bill is history, the penny, too.  Dollar coins, but no $1,000. FRN  They really want to eliminate cash anyway, move totally to electronic for tracking purposes.

Fri, 11/30/2012 - 12:15 | 3023802 SheepDog-One
SheepDog-One's picture a world of out of control money printing, the only thing that should be reflecting some reality, PM's, is the only thing that cant catch a freakin bid.

Fri, 11/30/2012 - 12:22 | 3023831 ActionFive
ActionFive's picture

look at the daily work on crude.


Fri, 11/30/2012 - 12:20 | 3023820 ziggy59
ziggy59's picture

Date of First Notice today... Window dressing ... Manipulation, full moon.. yada yada, yada.

Fri, 11/30/2012 - 12:21 | 3023826 LongSoupLine
LongSoupLine's picture

i'll put in my two cents...



fuck you Blythe, you fucking demonic whore.

Fri, 11/30/2012 - 12:25 | 3023851 Wakanda
Wakanda's picture

That's three cents, but it will devalue to two by the time I hit "save".

Fri, 11/30/2012 - 12:21 | 3023828 Confundido
Confundido's picture

Here we go again: 11:20am...someone is adamant we have to retest $1,704/oz, break it through to $1,688/oz.

Fri, 11/30/2012 - 12:23 | 3023836 Quintus
Quintus's picture

Funny how buying of Precious Metals usually takes place slowly and over time, whereas sellers generally seem to be in such a hurry that they end up dumping huge sell orders on the market thus driving the price that they receive down. 

Very strange.  It's almost like they don't care about basic trading concepts like maximising the sale price.

Fri, 11/30/2012 - 15:49 | 3024612 wee-weed up
wee-weed up's picture

They don't!

When you're manipulating, you don't give a rat's ass about such silly things as basic trading concepts. That's for serfs to worry about.

Fri, 11/30/2012 - 12:25 | 3023839 JustObserving
JustObserving's picture

We have the freest, most open and corruption-free markets in the world.  If you disagree, we can detain you under NDAA.  Or, perhaps, send you a drone for Christmas.

Who are the idiots who "invest" in crony, corrupt, captured US markets anyway?


Fri, 11/30/2012 - 12:24 | 3023841 Againstthelie
Againstthelie's picture

Bitchez you don't get it.

It's the most profitable trader who knows on 12.12. QE will end and he simply frontruns the FED by shorting the gold-bubble.


(Jesus, that's frightening, this really could be written somewhere in MSM)

Fri, 11/30/2012 - 12:29 | 3023874 Confundido
Confundido's picture

Do you really think the market would sell down because QE gets postponed? Here's the benefit of the doubt to you: Explain to this forum why the $100BN+ monthly fiscal deficit (yes, $100BN!!!) will not be monetized by way of Fed's purchases of US Treasuries. I believe that the long end issuance in the last year has been 90% bought by the Fed. 90%!!! Who is going to step in? Or did Ron Paul actually win the election and by Jan/13 we have a $1 trillion trim on govt spending? Please, explain. I really want to hear because if I am wrong, I want to be the 1st to know so..

Fri, 11/30/2012 - 13:18 | 3024063 Againstthelie
Againstthelie's picture

Wow, you and at least another one hasnn't recognized the sarcasm, although i even have added an explanation with the MSM.

That's not a good sign...

Fri, 11/30/2012 - 12:26 | 3023856 Bay of Pigs
Bay of Pigs's picture

Adrian Douglas plotted this data back in 2010. It's been going on for a very long time.

Fri, 11/30/2012 - 12:45 | 3023947 vamoose1
vamoose1's picture

howdy friend   we  owe  a  lot  to  adrian  who  brought mcguires testimony  across  the  pond   i  like  nuckles  comment  as  well  ... its  bang on

Fri, 11/30/2012 - 13:07 | 3024020 Bay of Pigs
Bay of Pigs's picture

Hey vamoose. Always wondered what happened to you after the purge at TFMR.


Fri, 11/30/2012 - 14:02 | 3024195 vamoose1
vamoose1's picture

got  banned  for  being  right  all the  time  and embarrasing  the  moderator:)  good  to  seeya    we  will  bury  these weasels

Fri, 11/30/2012 - 13:14 | 3024050 zilverreiger
zilverreiger's picture

no longer feeding the turd, jesus forgives you son gobble gobble

Fri, 11/30/2012 - 12:28 | 3023869 tetsujin
tetsujin's picture

Market IS free.... for manipulation. That is in a way, kinda the point. If you're d1ck is big enough, you can f*ck it

Fri, 11/30/2012 - 12:29 | 3023877 Dr. Engali
Dr. Engali's picture

I just bought me some nice shiny eagles too.

Fri, 11/30/2012 - 12:30 | 3023885 Monedas
Monedas's picture

The slaves down in the hold must not be told that the hatch to the deck is unguarded .... they might scramble to freedom !

Fri, 11/30/2012 - 12:33 | 3023900 fuu
fuu's picture

Just another, just another sale.


Fri, 11/30/2012 - 12:33 | 3023904 FishHockers
FishHockers's picture


Fri, 11/30/2012 - 12:34 | 3023909 polo007
polo007's picture

Since WWII, the Americans, Japanese, British and Europeans have spent way more money than they owned. But that was ok because the money they borrowed wouldn’t have to be repaid until some far away day in the future.

Unfortunately the future has now arrived and today, the next generations of Americans, Japanese, British and Europeans have all plunged into a deathly debt spiral.

Today it is no coincidence that the Americans, Japanese, British and Europeans have all set interest rates as close to 0% as possible.

Also today, it is no coincidence that the Americans, Japanese, British and Europeans are all printing money. And finally, today it is also no coincidence that the Americans, Japanese, British and Europeans ignored Friedrich Hayek and instead followed the economic principles of John Maynard Keynes.

Today the entire global economic and financial system is rooted in unwavering support for John Maynard Keynes and his beliefs in deficit spending and debt-fueled growth.

Fri, 11/30/2012 - 12:37 | 3023920 John Bigboote
John Bigboote's picture

This tells me exactly what I should be buying.

Fri, 11/30/2012 - 12:37 | 3023923 BeerBrewer09
BeerBrewer09's picture

Thanks JPM, I am going to get some silver to put in my kid's advent calender tomorrow.

Fri, 11/30/2012 - 12:38 | 3023925 Intoxicologist
Intoxicologist's picture

Its a One-Hour Black Friday Special on the PMs. 

Hurry!  Supplies are limited...

Fri, 11/30/2012 - 12:39 | 3023927 Monedas
Monedas's picture

The manipulators want gold to mirror the stock market .... not quite as good on the upside .... and a little worse on the downside .... that way gold is perceived as an underperforming alternative .... minimizing manipulation maintenance costs .... gold is never perceived as an emergency exit to salvation !

Fri, 11/30/2012 - 12:39 | 3023933 realtick
realtick's picture

But Shithead Ferguson told me to buy, buy, buy.

"BTFD or BTFR, it doesn't matter. Just buy."

Fri, 11/30/2012 - 12:49 | 3023965 Bay of Pigs
Bay of Pigs's picture

Yes, cost averaging your purchases over time is the best way to accumulate gold and silver.

So buying weakness like today makes sense, no matter what other people tell you. Just make you own plan and go with it. 

Fri, 11/30/2012 - 12:45 | 3023942 polo007
polo007's picture

So, who's right? Does the insolvency of European governments cause deflation, which sends the dollar soaring and gold plunging? Or does the insolvency of the U.S. government cause a collapse in the dollar and hyperinflation?

Probably both and neither. European governments and international institutions are likely to connive in any way possible to avoid the defaults and the resulting deflation from Europe. The most expedient way is for the European Central Bank to buy the bonds of the heavily indebted economies of Spain and Italy. That would both finance their deficits and lower the value of the euro, which would boost the competitiveness of the peripheral economies of the euro zone.

Does this violate every precept of the founding of the single currency? Of course it does and Germany will object vociferously. But ECB President Mario Draghi has pledged to do whatever it takes to save the euro. Since he made that pledge last July, that in itself has restored confidence. The ECB can only buy bonds only when a government accedes to harsh conditions, which none has had to do. So far, Draghi's mere declaration has lowered the funding costs for Italy and Spain, but actions may eventually needed to back up his words.

Meanwhile, the Fed has effectively inaugurated QE infinity, buying securities until unemployment is brought down to some satisfactory level. So, the U.S. central bank will be churning out greenbacks, which will effectively fund the federal budget deficit. In addition, the Bank of Japan is being urged to engage in quantitative easing until deflation turns into inflation by the leader of the opposition Liberal Democratic Party, which is likely to regain power in elections next month.

Bottom line: every major central bank around the globe is likely to continue printing money to stave off any deflationary undertow induced by the massive debt of their governments. Notwithstanding short-term sell-offs such as Wednesday's $25 drop, central-bank policies should keep interest rates near zero and negative in real terms, which in turn ought to keep gold in its long-term uptrend. As long as authorities try to do whatever it takes to hold the system of fiat currencies and indebted governments from flying apart, paper money will continue to lose value relative to the traditional store of value, gold.

Fri, 11/30/2012 - 12:44 | 3023945 Bansters-in-my-...
Bansters-in-my- feces's picture

Bull fucking shit...who knows. If you do not know about the ESF that the USA Treasury gets to manipulate the markets with you should learn about it.

It is a fund that the terrorist use to keep the precious metals prices down,amogst other corrupt activities.

This fund is massive.

The USA Exchange Stabilization fund answers to know one but the bankers.

The ESF deals gold.Period.

Gold scares the fuck out of the bankers.

It can't be printed.

Fri, 11/30/2012 - 12:50 | 3023968 Karlus
Karlus's picture

This kinda game can only go on so long. Slam the price and smaller people are going to BTFD. Mr. Manipulator will be forced to cover higher. Now if it is a proxy for a soverign, then it gets tricky because they will be backed by unlimited fiat....


I am still BTFDs

Fri, 11/30/2012 - 13:07 | 3024023 medicalstudent
medicalstudent's picture

the sellers are the technical sabateurs.


we should close at the lid

Fri, 11/30/2012 - 13:08 | 3024024 vamoose1
vamoose1's picture

if  these  thieves are  actually   standing  on  silver   with  the  view  that if  it  went  materially  up   the  worlds reserve  currency  would  collapse   they  need  a  lengthy  session  with  nurse   ratched  in the ECT Room.

    the  chinese  stevedores  in  macau are  rolling  on  the  dock  in  mirth  as  they  unload  those   freighters  full  of  bargain  basemant  silver  which  will  form  part  of    the  worlds new  reserve  currency   namely  the  yuan.

    this  is  about  the  most  suicidally stupid  government  policy  i  have  ever seen  and  its   competitive.

    as  if  the  avarage american  could  give  a  flying  fuck  about  the  price  of  silver  ,  he  a  little  more  preoccupied withavoiding  moving  into  the  park.

    jam  silver  to  300  at  least make  china  pay  for  it  instead of  spreading  your  cheeks for  blythes  strap on.

   more  likely  this  is   jpm  desperately unwinding their  short  and  going LONG    witness  the  massive  expansion  in  OI  ...  every  long  nullifies  a  short   so  these  serial  raids  are  part  of  the  process  of  reversing  field.    rather  than  being   uneconomic   its   quite  the  opposite. 

Fri, 11/30/2012 - 13:11 | 3024041 Wardley
Wardley's picture

It is almost holidays, so I believe it is reducing exposure.  2 weeks later, we will be seeing less volume and volatility. 

I don't think it is about rollovers, the process has been smooth if looking at open interest changes, plus the spread between Decemeber 2012 and Feburary 2013 has also been reasonable. (~2.0-2.5)

P.S: BTFD worked for this month so far.

Fri, 11/30/2012 - 13:57 | 3024060 Anasteus
Anasteus's picture

Well, as regards the paper gambling everything is possible. A substantive fact is that physical metal can fluently continue flowing to Eastern central banks, funds and other stackers on massive scale; to all who didn't get fooled by the paper shell game and rather prefer relying on the fundamentals.

Fri, 11/30/2012 - 13:40 | 3024125 franzpick
franzpick's picture

Silver is just 1.30 or so away from a major breakout of 15 month highs at 35, and if it recovers 80c during the day as it did last Wed, or does it in the next few days, it will be back to being within 60c +/- of the breakout. I think the weekly chart, showing the year plus high at 35, and the already broken, or breaking, 19 month downtrend from the April 2011 high at 50, suggests the explosion that could take place at 35, as well as why we have seen two dollar plus raids, the first of which failed completely, in the last 3 days.

Jessie and others think the 2 year silver weeklies are telling a breakout story, attempted $1 raids notwithstanding:

Fri, 11/30/2012 - 14:00 | 3024138 mrfreeman
mrfreeman's picture

This time last year Gold went into a nosedive because of various things:

1) Europe collapsing (prior to Draghi's LTRO rally)

2) John Paulson liquidating huge amounts of his GLD investment

3) Lease rates plunging

4) End of year profit-taking

Now THIS year, 2 and 4 could easily happen again due to the fiscal cliff.  Even though a resolution and can-kick will probably appear at the last minute, until then investors may sell to lock in profits at lower capital gains tax levels.  If so, Paulson could be forced to liquidate alot of his investors' holdings even though he doesn't want to.  But I should think if we do get a sell-off, there will be a sharp rally back up with everyone piling in at lower levels.  Those investors who sold will simply buy back in from the new year (at least that's what happened LAST year). 

Having said that, this year could be different because it's the US that's the focus of attention.  If they get downgraded again by S+P/Moody's (due to another debt ceiling fiasco) it could send gold soaring (like Jul 2011).  Either way, as of now the commercial shorts are still MASSIVE.  So hold on to your hats!

Fri, 11/30/2012 - 14:17 | 3024256 vamoose1
vamoose1's picture

 you make  good  points  particularly  the  latent  change  in  capital  gains treatment.  could  it  make  december  problematic  yes  it  could depending  on  the  horizon  of the  holder.   if  so  we  tough it  out and  btfd.

    on  the  other  hand  these  two  recent  raids  are  so  transparently  opportunistic ,  so   deliberately  destructive   that  they  shout  cartel   from  the  rooftops.

    some  idiots  might  sell  in  such  a  counterproductive fashion  but  certainly  not   paulson    dalio   gross   bass et  al.   not  a  chance.

    perhaps  it  comes  down to   why  do  you  own  metal. if  its  because  the  dollar  is  dust  which  it  is,    i  think  you  hold  irrespective  of  changes  in  capital  gains  rates.   its  a  distant  secondary  consideration    but  you  made  a  hell  of  a  point

Fri, 11/30/2012 - 13:50 | 3024143 Bastiat009
Bastiat009's picture

It may be time to get all those stories about how QE3 would send gold prices above $2,000/oz before the end of the year out.

Fri, 11/30/2012 - 14:02 | 3024192 fuu
fuu's picture

What we really need is a bunch of articles and posters pointing out how totally worthless gold is. Then if some banks could sell 1.226907E+12 oz of paper metals at the same time that would be great.

Fri, 11/30/2012 - 14:38 | 3024339 Bastiat009
Bastiat009's picture

This would be stupid. It's like saying the US$ is worthless. Although one is not getting much stronger these days.

Fri, 11/30/2012 - 14:41 | 3024341 fuu
fuu's picture

As a gold bug I would prefer to see the price down rather than up.

Fri, 11/30/2012 - 13:57 | 3024175 sasebo
sasebo's picture

BFD ---- some asshole sells a bunch of paper gold to get the price down for what? So he can buy some physical on the cheap. What else is new?

Fri, 11/30/2012 - 14:08 | 3024223 fijisailor
fijisailor's picture

Yes and this can go on indefinitely as long as printing bucks can.  It's all paper.

Fri, 11/30/2012 - 14:23 | 3024287 Confundido
Confundido's picture

Like I wrote earlier:


...Here we go again: 11:20am...someone is adamant we have to retest $1,704/oz, break it through to $1,688/oz....

Fri, 11/30/2012 - 14:37 | 3024333 alentia
alentia's picture

Awesome! More positions accumulated with target breaking $35 next week.

Fri, 11/30/2012 - 14:44 | 3024355 The Duke of New...
The Duke of New York A No.1's picture

Just selling paper Gold to go long NY FED Tungsten.

Fri, 11/30/2012 - 14:46 | 3024361 Confundido
Confundido's picture

The algo is all set to finish at $1,706/oz by 4pm...

Fri, 11/30/2012 - 14:47 | 3024367 Conax
Conax's picture

The stench from the PM markets is in everyone's nose now.  Nobody, but nobody sells off assets like this, unless they're insane or getting paid just to f--- things up.  In bygone days, she was careful not to let her (short) slip show, now she's gyrating down Main street buck nekkid with a rose in her teeth.

Stop me if you think you can.. Tra-lalalala hey!

Fri, 11/30/2012 - 15:07 | 3024464 medicalstudent
medicalstudent's picture


now it looks like they are painting a handle on an even smaller cup... i can wait another couple weeks

what a joke

Fri, 11/30/2012 - 16:34 | 3024813 vamoose1
vamoose1's picture

  lets  for  fun  hypothesize that  jpm  reads  the  tealeaves  and  is   aware  that  the short  racket  is  about  to  blow  up.   that  it  is  senseless  to  ship  the  worlds  physical  silver to  china  for  33  worthless  american  dollars .  thats  chinese  roulette  with  all  six   chambers  loaded.  its  economic  suicide  to  fund  the  worlds  next  reserve  currency   unless   god  forbid  this  what  you  want  to  make  repudiation  easier    since  the  dollars  are  all  worthless  anyway.   ok  thats  a  reach.

    but  if  jpm  were  of  a  mind  to  pack  up  the  scam    you  might  very  well  start  getting  long  to  nullify   this  perilous  short  position .  you  might  also  focus  the  raid  on  gold   since  we  know  our  kunta  kinte  is  pretty  good at sleight of  hand ,

    silver  drops  in  sympathy   and  you  cover  what  you  can,,,,  it  can  hardly  be  done  overtly   it  would  blow   silver  to  70.

    seasonally  perhaps  the  fiscal  cliff  and  capital  gains  increases  creates  a  pool  of  profit  takers   this  month...  ie   exploitable  seller supply   it  seems  a  foregone   conclusion  that  the  gains  tax  goes up  no  matter  what  these  princely fools  do.

    does  treasury  really   want  china  inhaling  the  worlds  silver  for  33  comical  confetti  dollars     only  if  you  are  really   machiavellian  and  are  bent  on  tactical  currency  suicide.   possible  but  unlikely.

    nope  this is  classic  jpm  deception      they  are  getting  so  long  there  will  be  no  silver  above  ground  on  this  planet  and  it  will  be  printing  300    so  that  silver  joins  gold   as  too  expensive  to  buy  for   john q. to even  contemplate   btfd  and  think  new years

Fri, 11/30/2012 - 17:14 | 3024991 abgary1
abgary1's picture

Gold does not pay a very good dividend and you can't eat it.

Sat, 12/01/2012 - 00:54 | 3025941 Mediocritas
Mediocritas's picture

How much gold has Iran been taking in, in exchange for oil? Maybe they're dumping it (via a sloppily-trading "friendly") to raise USDs seeing as other channels are blocked.

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