Gold, & Silver Jump As Citi Sells All USD Positions Fearing "Squeeze"

Tyler Durden's picture

UPDATE: Every dip is to be bought...


After a week of punishment, precious metals are kneejerking higher this morning on the heels of a Citi FX note explaining they are cutting all USD longs - "This is an opportunistic exit as we feel we may be due for a squeeze of USD long positions similar to what happened at this point in the cycle last year." The USD Index is sliding quickly and Treasury yields inched higher (but remain -1.5bps despite equity strength).


As Citi notes,

US assets have significantly outperformed overall, with the US MSCI index outperforming all its G10 counterparts, while US fixed income outperformed all but European bonds (EUR-, GBP- and SEK-denominated).


Therefore the notional on currency hedges should be increased proportionately more on US assets, which may be USD negative.



Signals are between half and one historical standard deviation.


The USD Index is slding..


and PMs are moving higher...


Charts: Bloomberg

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ilion's picture

Would appreciate some USD weakness to take my overnight EUR/USD and GBP/USD long positions to the heaven.


Headbanger's picture


You call that a big move tylers???

gmrpeabody's picture

Gold up , dollar down... oh, wait.

Squid-puppets a-go-go's picture

YAWN.... Ive seen looser trading ranges i a straight jacket

BaBaBouy's picture

The BULLSHIT Manip Of GOLD Goes On...

The Main Support For USD Strength Is The Paper Selldown Of GOLD.

This STORY Is Getting Very Very Very OLD...

Bokkenrijder's picture

Wow! Stop the press: gold is up $2-3!! Poof, aaaaaaannnnnd it's gone!

Just like CNBC has stock to sell, ZH has gold to sell.

Stop flogging a dead horse!

Cpl Hicks's picture


Just saying.

Bokkenrijder's picture

I guess Gold and Silver just un-jumped again. Or is it de-jumped?

thatthingcanfly's picture

Wake me up when gold is north of $1900.

RattNRoll's picture

1400.00 would get me excited even.

J S Bach's picture

Gold blips upward 1 point and it's a noteworthy "jump" on ZH.  Let's see... that's less than 1-tenth of 1 percent.  Why do I even bite on these articles that Tyler posts?

GetZeeGold's picture



Gold is the most managed substance on this gotta be crazy to try and predict that.

kliguy38's picture bout silver? now THAT is managed

J S Bach's picture

I think most of us click on these posts because we subliminally know that the "Trending Articles & Offers" just below the stories always have chicks with big tits, deformed piglets or old geezers doing push-ups.  Now that's entertainment.

Ozy_mandias's picture

I only come for the comments. And to up vote people who think like me. Makes me feel special.

Ivanovich's picture

It has become rather sensationalist, hasn't it.

lunaticfringe's picture

Wake me up when gold is north of $1900.

I'm not sure I'll be around in 20 years.

Bokkenrijder's picture

Yes, that will be the day that all those goldbugs here will exclaim en mass: "See! We told you gold would go up! The recovery of the gold price is just around the corner, if you look real close you can even see some green shoots! Any minute now..."

Dr. Engali's picture

I really prefer that gold and silver get knocked down further. but, that's just me, I'm a tightwad who likes to get moar for his fiat.

nightshiftsucks's picture

Buying a little at a time,waiting for this shit show to blow up but in the end the longer it goes on the better off i am.

remain calm's picture

hurry up, CB won't be able to keep prices low much longer.

lunaticfringe's picture

Dr. Tightwad to the coin shop. Stat.

Lionhearted's picture

Dang! And I did'nt BTFD.

Talleyrand's picture

Yeah, hell of a jump.

aleph0's picture

$1270 - $1280 is hardly a jump .

All within "normal manipulation parameters"

A Jumps is +$200 ... anything else just the usual manipualtion.

Cattender's picture

the paper motherfuckers are running the show.. pump and dump.. 

GetZeeGold's picture



$1270 - $1280 is hardly a jump


Thank you Captain Obvious.....anything else?

Mi Naem's picture

Hyperbolic rhetoric seems required of Tyler's typists. 

foxenburg's picture

@aleph0. And it seems to find it much easier to jump down 200 than jump up 200.

aleph0's picture

"jump down 200 " .. also within "Normal Manipualtion Parameters"

CNBS is quick to cheer AAPL rising 10% .... or even  8,750% ( 8$ - 700$ pre split )

But if Gold even dares to move +2% ... it gets a hammering.

Sudden Debt's picture

This is what it takes to bring silver up 10 cents...

and a fart can push it down 2 dollars in a week...

buzzsaw99's picture

hear C roar with those massive positions. bug lulz

Hongcha's picture

I see Au down $2 on the session and Ag up $.03.  I too am hoping for a washout and new lows, particularly silver.  I expect to see it by end of the month.  One star for this timewaster.

ebworthen's picture

Ah yes, the cycles, the rotation, the slosh, the 1% "corrections", the non-stop ramp of cotton candy equities.

Quick, somebody sell some paper gold to crush tangible Gold, sell transports and buy tech., sell biotech and buy retail, sell utilities and buy crude.

Now have a central banker jawbone markets with the possibility of selling our kids down the river further with another $1 Trillion of debt for the money-changers.

Lather, rinse, repeat.

Cpl Hicks's picture

You heard all that on Mad Money last week, right?

SlipStitchPass's picture

I am getting close to admitting defeat. When the metals make there final move to balance the currency/debt/derivatives it will be too late unless you have left the USSA.

I wonder who is going to want to go to war for these bankers because that is where we are headed.

ebworthen's picture

This grammar nazi is close to admitting defeat on "their" versus "there".


There = "over there" or "here" with a "t".

Their = "their car" or "heir" with a "t".

When metals make their final move to balance the ponzi is when their purchase or sale will be outlawed and .gov will get rid of paper/coin currency and move to 100% digital so it can all be captured.

Mi Naem's picture

Nazi is capitalized.  They're, i fixed it for ya. 


ebworthen's picture

Zing!  You got me.  Good work.

El Hosel's picture

The Fed dumps trillions of dollars into the rigged "System" for several years... That would be bullish for metals boys and girls, only on problem.


Bioscale's picture

Who? > 200 mil of bravely brainwashed US citizens who have no clue how the world works outside of their county.

Chupacabra-322's picture

Ah yes. The orchestrated incremental collapse. Death by a thousand paper cuts.

jharry's picture

You're spot on aleph0.  Nothing will change until the winner of this banker led money war is decided. 

In a war there are no rules.  Warrior bankers are not held to account for their deeds (for the most part).

How long will it last?  That's the 2 quadrillion dollar question.

LawsofPhysics's picture

And treasuries continue to be bought...




Byte Me's picture

Utter. Durden. Bullshit.

Seasmoke's picture

Really , where ?

Billy Sol Estes's picture

Gold up $3!!!

Time to post an article!

agent default's picture

And then slapped back down again...

Infinite QE's picture

Gold is still missing a zero at the end of its price.