Gold Plunges After "Someone" Suddenly Decides To Dump Over $2.3 Billion Notional In 10 Minutes

Tyler Durden's picture

A modest blip higher in the USD...

 

And commodities suddenly accelerated to the downside, led by precious metals.

 

While Copper and Crude are giving up gains, gold and silver and being monkey-hammered on heavy volume..

 

Over 18,000 contracts - or over $2.3 billion notional of gold has been dumped in the last 10 minutes...

 

Thank you London Fix.

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Quintus's picture

London PM fix. 

 

Same time every day.

Stackers's picture

I was cleaning out the closet over the weekend and found a few hundred thousands oz's of gold and took it down to the pawn shop this morning....

kliguy38's picture

Too funny these clowns think anyone that stacks gives a flying Foch

Latina Lover's picture

Your USSA/City of London Banksters playing their usual dirty games.  Hang them all!!

BaBaBouy's picture

""Gold Plunges After "Someone" Suddenly Decides To Dump Over $2.3 Billion Notional In 10 Minutes""

TIME To Investigate???

 

 

MillionDollarBonus_'s picture

I'm afraid I just don't buy the whole 'manipulation' story. A market of this size simply cannot be manipulated. Sure, large orders will move the market, but the traders behind these orders are losing money by doing so. In addition, the effect on the market after the trade has been executed is not predictable enough for a trader to gain any substantial benefit. This is not just my opinion - this is the opinion of some of the world's leading economists and financiers.

thesonandheir's picture

Well if the aim is to keep the price low so that physical gold can be stacked without bidding gold up to the moon then I don't see a problem with it.

 

I for one am thankful to the mass dumper for allowing me and the Peoples Republic of China to accumulate gold at these low low prices :)

NidStyles's picture

You don't have to buy the manipulation story, they already admitted to it.

 

BTFD

Tarzan's picture

Did Gold dive, or the Dollar climb? 

I'm thinking the motive for these moves has more to do with propping up a dying currency then lowering Gold prices.

nope-1004's picture

Your question is one in the same, imo.  Climbing gold is a bad thing for a fiat currency.  Whether the petrodollar rises or falls, the barometer of the USD (gold) must not be seen as revealing USD weakness.  The basis of every ponzi or magic show is keeping truth hidden and gold represents truth in money.

 

Save_America1st's picture

defending 1300 and 18 ain't easy (or cheap) is it, bitchez???  Notice how expensive and yet very short-lived their resistance continues to be as real phyzz values continue to burn away that bullshit paper.  It's only going to get worse for the Crimex as this continues to spin out of their control.

BTFD, bitchez....that's the only good thing about the crininal price supression....more time to keep stackin' phyzz on the cheap.

OldPhart's picture

When did the silver bottom change from $14.92?

nuubee's picture

what plunge? Gold is still higher than last week.

Pinto Currency's picture

 

 

Slamming with digital unbacked gold and silver spot contracts is not addressing the issue.

London is toast.

Burnt.

http://www.gold-eagle.com/article/moving-post-lbma-era-gold-price-reset-watch-out

Manthong's picture

I do not often dump several billion of fake money bucks in a heartbeat against a valuable commodity…

But when I do, it is because I prefer to be a criminal proxy of the Federal Reserve Bank.

 

Dr. Spin's picture

I just checked...they took another dump straight up 12 noon CST.  Both AU and AG down some more.  Desperate little bunnies rushing hither to and fro...

;-D    

Manthong's picture

The fact that they have to do now in broad daylight market hours instead of the dead of night in Singapore is telling.

End game….   Tick tock... tick tock... tick tock………….

Theosebes Goodfellow's picture

Theo, reading Kitco site: "Oh look Honey, they've having a sale on gold again..."

Theo's sweetheart: "Well, I guess we should buy a few more. Call those nice fellows at the coin shop."

Theo, putting down the laptop and reaching for the phone: "Yes, dear. I think you're right."

Manthong's picture

For whatever it’s f.n worth…

I think it is good to have a small reserve of Au..

..kind of like f’n  .gov and the f’n Fed has between them.

..but when the SHTF…   

You will want to have exchange-able Ag amongst other things like bottles of whiskey and stuff that might have a Cu and Pb content.

..and have some crypto……

 

 

.

But OK, ..it’s like not dystopia like present day France will happen here anytime soon.

 

old naughty's picture

wait, didn't China based ICBC Standard Bank just bought Barclay's 1800 tonnes gold vault in London?

Bullish for gold, no? No.

old naughty's picture

wait, didn't China based ICBC Standard Bank just bought Barclay's 1800 tonnes gold vault in London?

Bullish for gold, no? No.

Manthong's picture

Gee.. gosh and golly…

I am not an expert on any this geo-political or international finance stuff or security..

(oops.. sorry.. actually I have been Board Certified in several security disciplines)

But.. but.. but……….

Doesn’t anybody find it curious that although Germany will never see again any the gold it sent to the NY Fed, that after the NY Fed sent (if correct) all of the Douches, er I mean to say Netherlands gold back to them that all interest in the MH-17 horrid criminal murders over Ukraine ended?

..maybe it’s just me.

Haus-Targaryen's picture

Weak.  Last time it was $2.4 billion. 

Lonesome Crow's picture

Your question is one in the same, imo

Yes, the final measure is the value of what either gold or paper can be exchanged and not any thing intrinsic.


CHX's picture

It's NOT about the dollar IMHO. It's about propagaring world-wide fiat fraud denominated in USD, EURO, CHF, Yen, Renminbi, CAD, you name it.

NurseRatched's picture

What in the name of the Bass brothers is going on here?

A "market manipulation" that fails to move the price 1%???  These guys are pikers!  Bush Leaguers!  A picayune, inconsequential, jerkwater attempt to be significant.

Must have come from London.

MillionDollarBonus_'s picture

That's definitely not the goal because serious investors prefer cash settlement - it's far more convenient than having to handle storage and delivery. In order for this supposed manipulation attempt to work, the trader would need to:

1. Have complete visibility of the order book and where peoples' stops are concentrated

2. Know that the stop hunt would trigger enough selling to allow them to cover at a profit

3. Know that the market wouldn't be able to front run this manipulation attempt

An unlikely set of preconditions if I may say so, and so delusional a conspiracy theory that only ZHers and libertardians could believe it. 

Bill of Rights's picture

Yes we can agree your in a class all your own, full retard.

City_Of_Champyinz's picture

Never go Full Retard.  MDB produces some of the worst 'sarcasm' on the net.  It would be one thing if it was humorous, but it is not...

DownWithYogaPants's picture

Dear MDB 

-1- If the central banker's men at the NSA are involved then they do have order stops in complete detail from hacking in.

-2- If the central bankers are involved then ~2 billion is pretty cheap to keep their fiat product more valuable since they can print up the 2 billion

Can you redo your analysis assuming it be the big cheeses at the central banks doing the fudging?

fockewulf190's picture

This dude always pops up when gold slam posts show up on ZH. 

Who is on the other side of the trade buying up all those contracts.  Probably the same, or related, "custodion(s)"  helping out their "client".  Custodian "A" sells, Custodian "B" buys, and then it´s all reversed the next time paper gold needs hammering.  Losses?  Nothing a little CNTRL-P can´t take care of.

golden kafir's picture

aaah i get it MDB is claiming it's a bear raid

Bill of Rights's picture

This is not just my opinion - this is the opinion of some of the world's leading economists and financiers.

 

WE ARE LAUGHING!!!

insanelysane's picture

Old Warren must have been selling so he can corner the market on Apple.

HowdyDoody's picture

"London PM Fix"

It is so in-your-face, it would be funny if it wasn't so serious.

loveyajimbo's picture

"I'm afraid I just don't buy the whole 'manipulation' story."

 

MORON!!  You think the best way to max out your profit is to sell $2 billion in 10 minutes?  Think that gets you the best price, Mr. Retardo?  And... if not trying for the best price... than what the hell do you think that seller was doing, other than manipulation, imbecile?

MillionDollarBonus_'s picture

Well I'm sure the trader would have liked to execute his trade more tactically, but he may have been forced to sell at that time. The position may have been part of a complex pair trade that needed to be unwound quickly in order avoid a margin call. There are many plausible scenarios, but unfortunately the 'manipulation' conspiracy theory isn't one of them.

TahoeBilly2012's picture

MDB seems to have a new ghost writer.

monk27's picture

Yeah, and he's much worse than the previous one...

RAT005's picture

It's a run on stops carefully planned to protect and enforce the current price ceiling.  Timed to benefit the London fix. Enough of it has been admitted to that it is hardly even a conspiracy topic anymore. 

But it only aggregates the shortage of phys. 

toady's picture

Yeah, not nearly as funny lately. It should stick to the political stuff. It's much funnier on the political stuff....

Dr. Spin's picture

MDB's like Tyler, must be 20 or 30 of 'em...

;-D  

BobEore's picture

Yes, I'm glad your caught that. This one is doing one heck of a job, but coming dangerously close to outing the character for who he really is!

I know quite a few believe that MDB uses sarcasm, to take a poke at goldbugs, but this is straight up stuff which holds it's own with anybody's gold work.

Here, he's inched closer to describing the way things work than most any one else. I believe that the only reason he is holding back on filling in the full details -

"Borrow in gold units, sell them for dollars, invest the dollars. You not only earn the interest differential but you also profit even more if the borrowed unit falls in value relative to the invested unit"

is because he himself is accumulating, and just like a certain MAJOR player using the above strategy[minus the 'invest the dollars' part - that's where the truth gets beyond belief for those who think linearly] doing it from the proceeds of not just shorting, but using a leverage ratio which would scare the bejesus out of anybody else.  This MDB is a guy with major cojones, and a pipeline to the inner workings of the opaque world of gold. Who better to dismiss a 'conspiracy' than the conspiracist?

The fun he has laughing at all those who refuse to countenance that such is the way the world works may seem a little cruel, but I believe at the end of the day, MDB will be looked back upon as one of the major contrarian wealth strategists of his day  - and a veritable 'pot of gold' for those who parsed his words with due care and attention, refusing to get tricked out by clever misdirections.

Come into my parlor, said the spider to the fly!


Two Theives and a Liar's picture

Please do not feed the Fake MDB troll.

GTC's picture

It doesn't work that way. Traders don't just dump thousands of contracts into the market, they work the orders. The only reason to dump that many contracts at once is to slam the price down. The account size of this trader would have to be on the order of $100 million to cover margin. Ask yourself who has an account that size? I worked at the CME and I can tell you that an account that size can only be from 2 possible entities. It's either a very large hedge fund or the Fed through a bullion bank. 

fockewulf190's picture

He won´t respond to those hard core facts you posted...nor any of the other CNBC talking heads who up-votes him.

BobEore's picture

The account size of this trader would have to be on the order of $100 million to cover margin. Ask yourself who has an account that size?

Sorry - it's number 3. The guy in the panda suit.

We can't offer you any of our prizes - brought to you by the good folks from AMark Metals - but thanks for playing, and come back soon. For a minute there, I thought you were gonna clean out the house/That was close!