Gold & Silver Hit Multi-Month Highs As ETF Inflows Surge Most In 21 Months

Tyler Durden's picture

The last 2 days have seen something 'odd' happen in gold markets. As the China commodity finance deals are unwound and massive futures positions squeezed, Gold ETFs have seen the biggest inflows since September 2012 (and are their highest in 2 months). Whether this is the start of trend is unclear (as perhaps the conspiracy 'fact' proof of manipulation and rigging in the gold markets stalled the hollowing out of the gold complex). Ironic that this considerable rise should occur shortly after rumors of Germany's end to repatriation calls. Gold (and silver) has broken out once again this morning after the early dump on ADP 'good' news is well bid to 3-month highs.



Bloomberg has some color from analysts...

“Gold got its initial pop because of Russia, and then Iraq happened,” Phil Streible, a senior commodity broker at R.J. O’Brien & Associates in Chicago, said in a telephone interview. “Also, the dovish outlook from the Fed is increasing interest in gold, and we are seeing some investors return.”




“Although the overall macroeconomic backdrop remains unfriendly towards gold, with ongoing QE tapering, looming rate hikes and stocks at record highs, prices have generally been quite resilient,” UBS AG analysts wrote in a report yesterday. “That the aggressive ETF selling of 2013 has not made a comeback has provided ongoing support.”


Just days after the rumors of Germany ending its repatriation call, gold ETF inflows surge..

Charts: Bloomberg

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JustObserving's picture

But, but, but Goldman said that gold is going down to $800.  And they said Q1 GDP would be 3% - they got it spot on except for the sign.

DoChenRollingBearing's picture



Buy and hold physical gold, fishez!  

Pt, Ag and Pd are OK too.  Even BTC is OK.

JustObserving's picture
Morgan Stanley: gold price won't see $1,300 again

Frik Els | April 29, 2014

The gold price on Tuesday continued to hover below the $1,300 an ounce level, down more than $80 an ounce from 2014 highs reached mid-March.

US investment bank Morgan Stanley added to the negative sentiment, forecasting the gold price to average $1,250 this quarter, decline to an average $1,168 in the second half of 2014 and weaken further to $1,138 next year.

The commodity analysts at Morgan Stanley are quoted in Barron's blog that record demand from China "won't be enough to keep gold’s price above $1,200 per ounce in the coming year, much less help it rise".

SoilMyselfRotten's picture

"Although the overall macroeconomic backdrop remains unfriendly towards gold"

 Translated: We aren't done manipulating just yet

nope-1004's picture

Only a matter of time.  ETF's are pure fraud.


Nostradamus: (Cent. 8 Quat. 28)

Les simulacres d'or & argent enflez,
Qu'apres le rapt au lac furent gettez
Au desouvert estaincts tous & troublez.
Au marbre script prescript intergetez.

Translates as:

The copies of gold and silver inflated,
which after the theft were thrown into the lake,
at the discovery that all is exhausted and dissipated by the debt.
All scripts and bonds will be wiped out.

BaBaBouy's picture

CAN The COMEX ""Commercials"" Keep Up This Pace Of DUMPING Paper GOLD/SILVER ?????

Desperate POG Suppression ?????

Jack Napier's picture

BTC is OK, yep, if you plan on being a slave to the grid instead of getting out of dodge when the simplification begins.

nailgunnin4you's picture

BTC is OK, yep, if you plan on being a slave to the grid instead of getting out of dodge when the simplification begins.


you're a flop


+1 for the positive mention dochen, zerohedge's collective btc sentiment becomes less bearish everyday

Squid-puppets a-go-go's picture

Tyler still banging this rumor of germany quitting? I thought it was comprehensively discredited.

WmMcK's picture

Thank you for the hardy laugh!

Save_America1st's picture

and the silver/gold ratio has dropped from around 66.5:1 at the beginning of May down to around 62.5:1 or so now.

Nothing great...yet.  But I can't wait to start seeing it back in the 50's, 40's and then hopefully down into the 20's one of these days.  If it breaks 30:1 some day it'll definitely mean it's heading back to it's normal levels.  The overshoot from skyrocketing silver values might even bring it close to parity with gold. 

How freakin' crazy will those days be in this out of control world??? 

Lead/copper projectiles are starting to come down in costs now too.  Keep an eye out for those internet sales and stack up on it. 

Ammo:  The Other Precious Metal

Romulus76's picture

Silver is going to hit a physical shortage.  Paper manipulation can't stop that.  Read Ted Butler's article from last week, he nailed the current state of precious metals.

Flakmeister's picture

This has been the story for years....

Same old, same old...

Gief Gold Plox's picture

I can't be the only one who read "thrown into the lake" and thought "boating accident"?

TeamDepends's picture

You'll never see $1300 gold again.

-Morgan Stanley

TeethVillage88s's picture

That is what they tell the Customer

What do they Tell The Elites!!!!!

Finance is always about Screwing people in the Anus.

What do you call someone that uses the Shadow Banking System to Sell $700 Trillion... Maybe Shill, Fraud, Racketeer, Mafia, Yakusa, Tong, Wall Street, Fed, US Congress, President of the USA?

I don't like any of the Answers.

thunderchief's picture

I figured this morning would be another waterfall event. Commercials going balls deep in comex shorts.

Just hope they pull out before reality sinks in.

Know one cares about the propaganda now, just like the bogus job numbers that fade by these Wall Street shills first coffee break.

Like Yellen said, its just noise.

Keep buying...miners and physical.

SuperRay's picture

What's ironic is that all these Kool Aid drinkers who are now buying gold because Russia and China are dumping dollars (which is the real reason why they're buying) still believe that paper gold means something.  Wait til they wake up and realize it's worthless.  That's when we'll see a run-up like you've never seen before...

TeethVillage88s's picture

Ammo, Gold, Silver, Derivatives, Buying PLUS Big Money Earnings Getting Stashed in Accounts.

Corrected this

Maybe that is the reason that money has low velocity. Maybe the narrative is all Wrong

No Government Mistake that Iraqi Civilian Deaths, Wounded, Refugees, and homes & Business Destroyed are not Data that are Collected.

-The government Refuses to collect data that looks bad.
-It also refuses to collect data that show Job Loses to Specific Industries (at least at the Fed in FRED Data)
-There is no Fed Data that shows Stagnant Capital, or money sitting in accounts of the Rich
-There is no Fed Data that shows the Dollars that Fly Off Shore to sit in Foreign Bank Accounts
-There was no Announcement that the actual Corporate Income tax Rate is now 14.4%
-Where is the FRED Chart that shows the Ratio of Money Invested in Financial Markets by Banks instead of Invested in the US Economy (Oh, I forgot we have to allow Capitalist to move capital offshore, Stash the cash, Lubricate Public & Private Executives, and Decapitalize US Businesses)
-Where is the data in FRED that shows that Social Programs have Sky Rocketed due to Mergers, Acquisitions, Arbitrage, and LBOs
-Where is the Data that shows Decapitalization of America

Da Yooper's picture

But, but, but Goldman said that gold is going down to $800.



would Goldman lie to the GDP?


You damn right they would lie their ass off if it would make them a buck.


It is in their nature to lie to the sheeple.

disabledvet's picture

You're gonna need at least 100 billion for the defense of Israel.

"Start buying paper everything." If it's a bubble too bad. And yes...that includes gold too. That price could fall to four hundred bucks and ounce no problem...that's how much gold exists once you include the Ocean and "nuclear steam."

The fact of the matter remains once the paper market resets there is only asset class that offers any carry whatsover...let alone return (of capital)...and that's Treasuries.

Everything else is just a moonshot.

dizzzave's picture

Whats the fair/real price for gold?

If its significantly higher than the price is now, why are people selling it to you?

Divine's picture

The miners can get it up the ground with around $1200 with current price level of oil ceteris paribus. They need to sell some to remain in operation. Bankers lease and sell other peoples gold, so it doesn't feel bad at all :)

LawsofPhysics's picture

Are these "ETFs" taking delivery of physical?

No? fucking irrelevant then.

Thomas's picture

Or worse, bearish. If banks are turning in gold to get shares, that is a problem.

buzzsaw99's picture

sell bonds, buy gold. huh, didn't see that one coming.

Pareto's picture

he he heee.  must not be drinking liquids reading buzz.

mayhem_korner's picture



Forestalling a real breakout in gold & silver prices is at the top of the CBs list.  The $1900 gold and $50 silver was the wake up call.  They won't let it get away from them again...until they can't stop it. 

Until then, stack and wait.

Flakmeister's picture

Nominal gains get you all excited?

mayhem_korner's picture



Sorry, Flak.  You must've mis-posted here.  Unless you're caught in another irrelevance vortex.

Flakmeister's picture

Should have sold when Au and Ag topped out at 50 and 1900...

BFD, if Au hits 1900 again and oil is 150 or so and a loaf of decent bread is $8...

mayhem_korner's picture

Should have sold when Au and Ag topped out at 50 and 1900...


Didn't know you were both a scientist (sic) and prognosticator.  Thanks for the insight.  Did you also tell me to buy more back when silver was $7 and gold was $300?  I can't recall...

Flakmeister's picture

I am only expressing my regret at not selling...

Grande Tetons's picture

Would you sell this time if these same levels are reached once again?  

Save_America1st's picture

sell for what?  Dollars???  Hellz no!  Gold and silver are insurance, not investments.  Use other fiat for that investment crap and stash away the phyzz for who knows when...maybe never...maybe til we die and pass it on to someone else (secretively, of course).

Maybe when/after/during the SHTF I'll try to barter some Ag or Au away for a nice chunk of land with a cabin some where in the mountains.  Or a farm with all the equipment thrown in.  Who knows?  Maybe 1 monster box of ASE's will be worth enough in trade for something like that.

I don't know...lots of scenarios but since none of us have ever lived through the shit that's coming then none of us knows if we'll even be able to do some kind of trade like that.  Many of us might end up dead or locked up in some FEMA camp and our stash will stay buried away where nobody will ever find it. 

But 1900 and 50 sure ain't gonna saperate me from any of my phyzz.  I might still be stacking at those prices because 3000 and 100 might be only a few days later at that point.  Then 5000 and 250, etc. etc.  Ya never know

But I'm sure we're going to find out one of these days.

Grande Tetons's picture

I look at PMs like insurance as you do. Since, the world is on point selling. 

Save_America1st's picture

yep...and I've always kept the hyperinflation chart in the back of my mind when it comes to gold "prices" when the SHTF.


can you imagine those people who sold their gold at 10,000/100,000/and 1,000,000 marks, only to see that fiat burned away by the immediate inflation that took that same gold higher to values 10,000,000/100,000,000/and even as high as 1 Trillion marks as hyperinflation went parabolic in such a short time? 

That chart should be burned into the very front of every stacker's brain. 

dizzzave's picture

I'm curious why you think people will desperately want useful goods for shiny metal when SHTF.

If I have land when SHTF, I'm not going to trade it to you for a box of silver or gold coins.

Save_America1st's picture

the possible scenario may be that many people will be wiped out by that kind of situation.  Many may not have food and they may have land that they can no longer afford.  Since fiat money will be worth nothing, then there may be many who would trade certain assets like land, a home, etc. for silver or gold so that they can use it for other goods that they want and need like food or just a smaller place to live.  I don't really know.  As I said, "who knows"? 

I once read where some analyst was talking about this (don't remember who it was), and he said that once the dollar is done, people will be able to buy multi-million dollar penthouses in New York City for a monster box of ASE's.

Now, I don't think that would be true.  And even if it was I sure as hell wouldn't want to live in NYC or and big city for that matter...they will become nasty death traps, which is why in my example I would hope that I could find something very far from any cities. 

The world has never experienced the scenario that is coming...maybe our phyzz will help us get out of America all together as there may be other safe havens we could use it to gain passage to and start over again. 

But as I's all just a big guessing game cuz nobody knows what the hell the world is going to be like.  It sure didn't get any better for the German's back in the late 20's, and the 30's and early 40's, did it?  I bet a lot of Germans wish they had used their precious metals to evacuate the country.  Those that did....they lived. 

Divine's picture

A farmer might have land, but if he needs something else - lets say a surgery. He might find it easier to trade gold for the procedure than change 600 kilograms of cabbage to it.

barre-de-rire's picture

shtf the gold/silver is only valuable to trade remaining available goods & tools : equipment you miss.

when every buyable food 'n drinks is gone  & only remain self produced stuff, you will never get food by trading some gold/silver....

metal is not eatable & when ppl are hungry, they dont give a shit to not brush teeth, smell like crap, be naked or having 20kg of gold in pockets....

99% prepper do not understand that.


knowledge is the key. ability to craft, adapt.


money is pointless.

Romulus76's picture

When the SHTF what will you trade with?  Paper?  Maybe wood, at least it would put out more heat when burnt.   I do agree with your implied premise that land is going to be very valuabe, but there is still going to need to be trade.

Devotional's picture

Elliot Wave theory is suggesting a 338 USD retracement? There is a chance of sub 1000USD. That is not my analysis at all.

Any thoughts on this Elliiot Wave analysis?

Here is the analysis:

NOTE: I am NOT promoting anything :))

What do you guys think? Major move down or is this bullshit theory?

NOTaREALmerican's picture

Elliot does outstanding Ram Truck commercials.   That low manly cowboy voice causes other males to crave Ram Trucks so that, they too, can be a manly cowboys.    

So,  I'd trust what he has to say about gold. 


Cocksuckers come in many different names.  Elliot Wave is one of them.