Can We Call This A Currency Crisis Yet?
May 8, 2019
Great and Wonderful Hump Day Morning Folks,
Gold is trading higher this early morning, up $4.20 with the price at $1,289.80 with the high to beat at $1,291.90 and a low we never want to see again at $1,285. Silver is still giving the sell signal that seems to be approved by the CFTC (since they refuse to do anything about it) with its trade at $14.915, down 1.1 cents after reaching, once again the $14.99 price before being pushed away from the Maginot Line with the low at $14.895. The US Dollar is trading lower with the value now at 97.27, off by 12.9 points in between a high of 97.375 and a low at 97.18. These prices were tallied before 5 am pst and the Comex open and a few hours before the London markets are stopped.
The Emerging Markets currency board now shows the Venezuelan Bolivar’s value of Gold at 12,881.88, a gain of 83.90 Bolivar overnight with Silver’s value now at 148.964, gaining .949 Bolivar. Argentina’s Currency called the Peso, is showing the Nobel metal at 58,406.91, a 1,127.80 A-Peso gain (X a 100 ounce contract) – DAM!!!), with Silver now gauged at 675.446 proving a gain of 13.616 A-Peso’s (X a 5,000 ounce contract) as the excitement (I have) about the future of precious metals prices, under the primary currencies, is getting harder and harder to contain.
Everything precious metals trading boils down to the delivery requests and that count now shows a total of 499 demands for physical with a Volume of 36 up on the board so far this morning. Harvey Organ’s nightly watch proved 150 Contracts got their physicals during yesterday’s trade which is only adding more intrigue as we see the systems supplies weakening and the demands continuing unchanged. Silver’s Overall Open Interest has waned a bit with the tally now at 199,591 Overnighters, proving a loss of 657 Obligations as we wait to see if the OI totals fall to 139,000 as the price swings to $50.
Jim Sinclair’s Commentary
The latest from John Williams’ www.shadowstats.com
– PAYROLLS, CONSTRUCTION SPENDING, TRADE, CONSUMER AND THE FOMC
– Even in a Bifurcated Economy, Growth Depends Upon a Financially Healthy Consumer
– Yet, FOMC Policies Still Strangle Consumer Liquidity
– Signs of a Deepening Contraction in the Monetary Base
– New Recession Remains in Play, Still Likely to Force FOMC Easing by September, Irrespective of Federal Reserve Protestations to the Contrary
– Headline Gains in April Payrolls and First-Quarter Gross Domestic Product Were Not As Strong As They Appeared
– GDP Showed Multiple Levels of Contracting Consumer Activity
– Advance March Trade Deficit Reconfirmed Collapsing U.S. Goods Consumption, Not Otherwise Fully Accounted for In the Advance GDP
– Amidst Downside Revisions, Total Nominal U.S. Construction Spending Contracted Year-to-Year and Quarter-to-Quarter; Last Seen Going Into the Great Recession
– April Unemployment Rate Declined to a Record-Low 3.58%, Amidst a Declining Labor Force, Reflecting Mounting Labor-Market Distress
– How Can Full-Time Employment Be In Decline With a Booming Economy?
– Downside Revisions Likely Follow for First-Quarter GDP Growth