Someone Puked $1.5 Billion Of Notional Gold, And The Selling Continues

Tyler Durden's picture

Gold continues to be pummeled...


having broken through the 50-day moving-average at $1338...


But Gold is outperforming Silver as the ratio surges back towards pre-Brexit levels...


As we detailed earlier, it made perfect sense - someone just decided in keeping with their fiduciary duty, 0840ET was the perfect time to unleash $1.5 billion of gold notional into the futures markets....

Over 10,000 contracts dumped in 1 minute... "normal"


New low prices are bringing in some dip-buyers...


And Silver dropped on heavy volume too...

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VinceFostersGhost's picture



That's fine.....I'll take it.


Got any more?

Cognitive Dissonance's picture

I love the smell of central banker desperation in the morning.

Chuck Norris's picture

I love it when the Central Banks puke Gold.

Time to back the Chuck up again.

gmak's picture

Except they're just puking paper - which is even better since it leaves more phyz for those so inclined.

FatTony7915726's picture

MANIPULATION from our Tel Aviv friends!!!

remain calm's picture

It only stops when we buy all the gold in Ft Knox

BaBaBouy's picture

Isn't Ft. Knox Now A Converted Refugee Shelter ???

Harry Quant's picture

8:40 huge dump in gold AND silver...then again at 9:03 in BOTH.


StackShinyStuff's picture

Stackers should not and do not give a shit about moves like this

nope-1004's picture

The message out of .GOV is simple:

1)  Embrace and use the USD, or else face military invasion.

2)  All other forms of money, especially the one form that has no borders (gold), must be controlled.

Neither of these are new to an empire in its terminal phase, as history has shown. 


asteroids's picture

Yup. A Billion or so went up in flames. This ain't no hedge fund. This is a sovereign or a Central Bank. Only a G20 country can do this on a regular basis.

PT's picture

Who was that character from Catch-22?

You know, the one who made a profit by buying the eggs at four cents a dozen and selling them for three cents per dozen?  (Can't remember the exact prices but the "logic" was the same?  Turned out all the sanity was hidden behind the scenes.)  His fingerprints are all over this.

(Later on he was trying to offload a heap of cotton as "edible" because he couldn't get rid of it.)

The Saint's picture
The Saint (not verified) PT Aug 24, 2016 10:14 AM

Could be China getting the price down so they can make a large physical purchase off the exchanges.


Thoreau's picture

Same thinking here... but it's still BS manipulation.

KnightTakesKing's picture

There's only one answer for that  manipulation. Buy moar!

ali_baba's picture

Surprise motherfuckers! Yellen's gonna put another deep trough in this chart on Friday.

But that's all it will be, a trough. We'll be up above 1400 by December. ESP if they actually DO raise rates, then we'll have another bumper january.

Kernighan's picture

That was Milo Minderbinder.   Great book.  Great character. Played by Jon Voight in the movie. Ostensibly the "mess officer" of Yossarian's squadron.  I believe he was experimenting with dipping the cotton into chocolate to cover up the . . .well. . .cottony taste.

Minderbinder is based upon the premise that, for this certain character, there is no loyaty, no moral compass to be had, except for the effort to promote one's own pecuniary interests.  Minderbinder is friend to our protagonist (Yossarian, a Captain and B-25 bombadier) and seems to want to help but winds up betraying him in order to strike a lucrative deal. He seeks to help find the lost "Nately's Whore's Kid Sister" character, but gives up the search in order to ship tobacco. 

I also liked Major Major Major Major (who was never in his office, always "just left").  Played by Bob Newhart in the 1970 movie.

macle's picture

Milo Minderbender or something like that...and if I could conjure supposedly hard earned cash out of nothing I too would be selling kajillions of paper gold so I could buy the real thing!

cheech_wizard's picture

Milo Minderbinder... 

jeff montanye's picture

good to see the classic lives on.  "it was love at first sight."

lactam's picture

First Lieutenant Milo Minderbinder would buy them in Sicily for one cent, sell them to Malta for four and a half cents, buy them back for seven cents, and finally sell them to the mess halls for five cents.

Brilliant plan, since it keeps the middleman really happy.

PT's picture

Thanks everyone.  I'm impressed that so many people knew the answer.

Pinto Currency's picture


There is a problem with bonds nearing the end of a blow-off and money moving into gold, silver and commodities:

spastic_colon's picture

so a USD strength tell? (rate hike?)

1033eruth's picture

Don't you think that, if that was their agenda, they would have made a move long before today?  

I don't accept your premise as the agenda for why they are dumping today.  

1) "Embrace and use the US, or else face military invasion."  

Just how many countries do you think that applies, as if that were enough to make a difference?  We've got treaties with the bulk of the world for supplying protection.  You got 18 (and counting) other Ponzi gold bugs to agree with you.  Good for you.  They like your "opinion".  Doesn't matter how legitimate it happens to be in a nest of Ponzi schemers.  


Lore's picture

@1033eruth:  If you have something of value to post, then do so. Trolling is immature and counterproductive.

Getting back on topic, this sort of move needs to be investigated.  Whoever is behind it, and what they did and why, needs to be revealed by a proper inquiry.  Such things must not be allowed to pass. 

froze25's picture

Historically it seems Silver is the bigger enemy to the banksters. This is a good read if you want to know the history of the war on silver and the families involved in it through out history to today.

SuperVinci's picture

SRSBullKucka...the eroi! the eroi!...whatever.

Bumpo's picture

No one is spending their gold until the SHTF. So play your games, and let others add to their stack. Once the mighty Jenga block gets pulled, Gold with laugh at the worthless pile of paper you worship.

TahoeBilly2012's picture

Last call, bullet's and bullion fellas...I mean last call!

fockewulf190's picture

I don´t.  That´s why I just picked up some more ASEs as well as some of those nice looking Kangaroos from the Aussies.  Oh, and please stomp on my miners...I´m looking for more of those babys on the cheap please.

AllThatGlitters's picture

I DO give a Sh*t about moves like this.

I wait for them to buy. Thanks [insert bogeyman here] for the cheaper prices!

See here if the dump continues or reverses:

Live Gold Price:

Live Silver Price:

Gordon_Gekko's picture

Please CRUSH the miners. Looking to buy a MASSIVE quantity. PLEASE. Thank you CB MORONS for this Gold and Silver discount sale!

NotApplicable's picture

Especially since my local coin dealer won't budge on slam-downs like this for at least a couple of days, if it holds. Or not at all if his restock price was higher.

TerminalDebt's picture

poor gold price falling again, so sad

greenskeeper carl's picture

Sorry, but anyone who wasn't expecting this hasn't been paying attention. This is about the upcoming election. Stocks my stay up, gold must drop from its recent highs. So it shall be done. I dumped NUGT a few weeks ago at 161, say it out for a little while, bought a little DUST at 5.80 or so. Another day or two like this, I'll close it out for 15-30% gain. This has become a game. The only surprising thing about this slam is that it took so long. A couple years ago, that many contracts got them a 25$ or so price drop. Not so much these days. It's losing its mojo.

And before anyone says it, yes, nothing but pieces of paper, fiat games for fiat gains. But I can still trade that in for the real stuff. And I haven't left anything in the casino I'm not prepared to lose.

espirit's picture

Pretty sure they'll be picking up post 82 pennies in front of the steamroller.

We know how this ends.

NotApplicable's picture

November 9th is going to be one extremely interesting day. Especially if Trump wins.

macdavy's picture

this was possible when NY was the prime mover, but times have changes and China is the biggest buyer now,  this was blip and the market over reacted as usuall.  The only thing holding stocks up it the low rates, so guess what song and dace yellen will do on friday and the next month and the month after that all they way through the election,


Twox2's picture

Two ways to look at this:  Either, the ESF has chosen this moment to to go full Volcker and relieve the pressure on the shorts that has persisted since the banks were caught wrong-footed by Brexit, or we have the obligatory smackdown before the mother-of-all-dovish statements coming up from Yellen.

We'll see soon enough...

Killdo's picture

I asked a friend (whose former roommate and best friend used to be a governor of Kentacky) to find out about Forth Knox gold if it's still there or not. He said he would next time he meets his friend. Unfortunately he died before he had a chance to do that. I don't think he was Hitlery-ed, it was from natural causes - he was old

Dg4884's picture

LOL... "Gold in Ft. Knox"

VinceFostersGhost's picture




Thank goodness we've got all those guns to protect all that gold!

SWRichmond's picture

President: "Be sure to guard the gold in Ft. Knox!"

General: "Sir, there is no gold in Ft. Knox."

President: "Double the guard!!"