Gold futures saw a massive $1.5 billion liquidation in one minute
yesterday which had all the hallmarks of a “non profit” liquidation – a large
seller trying to manipulate gold futures lower rather than maximise profits.
Gold Futures – August 24, 2016 (Zero Hedge)
Subsequently, gold dropped throughout most of trade in New York and ended
near its last minute low of $1323.80 with a loss of 1.1%. Silver slipped to
as low as $18.535 and ended with a loss of 1.75%. Gold
futures moved sideways in Asia prior to moving slightly lower in morning
trade in London.
Smart money has seen this hundreds of times over the years and will use it
accumulate cheaper physical gold and silver on the dip. As ever, best not to
catch a falling knife and prudent to wait for at least two days of higher closes
or to dollar, pound or euro cost average into bullion at these lower levels.
It was reported that Someone
Puked $1.5 Billion Of Notional Gold, And The Selling Continues by ZeroHedge:
Gold continues to be pummeled… having broken through the 50-day
moving-average at $1338…
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…
The Gold Anti-Trust Action Committee or GATA were even more
questioning in their headline featuring the Zero Hedge article which read Nobody sells gold like this except to
drive the price down in full view.
We have seen this repeatedly over the years and the timing is frequently
before “important,” “all eyes on the all powerful Fed” central bank meetings.
‘Monetary High Priest’, Janet Yellen will divine the tea leaves at Jackson
Hole tomorrow and the dumb money continues to lap up the silly sound bites
which distract from and ignore the wider context of a U.S., UK, Japan
and of course EU that is increasingly bankrupt.
It is interesting and telling that over the years, there have been very
little massive futures buying in one minute which has propelled gold futures
higher. Why is this concentrated futures activity always selling and always
to the downside?
The questions that arise once again are who was responsible for the sudden
bout of selling and was it a bank or fund acting on its own or with official
sanction of a central bank such as the Fed or indeed the BIS.
Download
Guide
Gold and Silver Bullion – News and Commentary
Gold
Prices Edge Higher on Weaker Dollar (WSJ)
Gold
futures finish higher in volatile trading (MarketWatch)
Gold
attempts modest gains as traders look ahead to Yellen speech (Investing.com)
North
Korea fires submarine-launched ballistic missile towards Japan (Reuters)
Earthquake
Shakes Central Italy, at Least 12 Reported Killed (Bloomberg)
Inverse
relationship between gold, stocks has never been this extreme (MarketWatch)
Monetary
policy has nationalized Japanese stock market, CLSA analyst says (CNBC)
Tiny
bead from Bulgaria may be world’s oldest gold artifact (Reuters)
India’s
gold smugglers shut out refiners, banks (Reuters)
Is
the EU Volcano About to Erupt? (MishTalk)
Gold Prices (LBMA AM)
24Aug: USD 1,337.30, GBP 1,010.73 & EUR 1,185.38 per ounce
23Aug: USD 1,338.50, GBP 1,015.25 & EUR 1,181.09 per ounce
22Aug: USD 1,334.30, GBP 1,018.20 & EUR 1,181.26 per ounce
19Aug: USD 1,346.85, GBP 1,026.30 & EUR 1,189.67 per ounce
18Aug: USD 1,347.10, GBP 1,023.93 & EUR 1,190.84 per ounce
17Aug: USD 1,342.75, GBP 1,031.23 & EUR 1,191.96 per ounce
16Aug: USD 1,349.10, GBP 1,039.89 & EUR 1,197.33 per ounce
Silver Prices (LBMA)
24Aug: USD 18.84, GBP 14.23 & EUR 16.70 per ounce
23Aug: USD 18.98, GBP 14.40 & EUR 16.75 per ounce
22Aug: USD 18.91, GBP 14.45 & EUR 16.74 per ounce
19Aug: USD 19.42, GBP 14.80 & EUR 17.14 per ounce
18Aug: USD 19.78, GBP 15.04 & EUR 17.47 per ounce
17Aug: USD 19.57, GBP 15.04 & EUR 17.37 per ounce
16Aug: USD 20.04, GBP 15.43 & EUR 17.77 per ounce
Recent Market Updates
– Germans
Warned To ‘Stockpile’ Cash In Case Of ‘War’
– Ireland’s
Biggest Bank Charging Depositors – Negative Interest Rate Madness
– Rothchilds
Buying Gold On “Greatest Experiment” With Money In “History of the World”
– Gold
– “Mother of All Bull Markets Has Only Just Begun” – Grandich
– 45th
Anniversary Of Nixon Ending The Gold Standard
– Gold
In UK Pounds Collapses 38% Versus Gold and 56% Versus Silver Year To Date
– Will
Ireland Be First Country In World To See Bail-in Regime?
– Money
“Madness” Negative Interest Rates Sees Gold Buying Surge
– Gold
Investment Demand Reaches Record In First Half 2016 On “Perfect Storm”
– Peak
Gold – Did Gold Production Peak in 2015?
– Financial
Times: “Victory For Gold Bulls Is Only Just Beginning”
– Irish
Banks Most Vulnerable In Stress Tests – Banking Contagion In EU Cometh
– Gold
In Sterling 2.2% Higher After Bank Of England Cuts To 0.25% and Expands QE
