It Doesn’t Take Much to Stampede a Jittery Herd
May 15, 2019
Great Wednesday Morning Folks,
Gold is trading higher as we start the “too early to trade report” with the price at $1,298.40 up $2.10 after reaching $1,300.00 with the low down at $1,293.60. Silver is flat at $14.805, down .007 of a penny inside a trading range between $14.865 and $14.765. The US Dollar’s trade continues to find buyers with its value at 97.46, up 13.8 points and at the high with the low at 97.24. What really seems to be sticking out over the past several months is the complete reversal in all US Treasury Instruments making us think that something very very bad is happening and all the while, everyone, NOT part of the club, is kept out of the discussion, which means those in the club, are the ones in trouble. All of this activity of course was done way before 5 am pst and the Comex Open, also way before the London close.
Venezuela’s currency now has Gold priced at 12,967.77 Bolivar taking back a little (11.99) from yesterday’s move with Silver now at 147.865, gaining 5 cents worth of Bolivar value on top of yesterday’s gains. Argentina’s Peso has yet to see the slicing off of digits to the left of the decimal as it shows Gold’s price now at 58,350.50 losing some 116.83 in Peso value after the giant move in yesterday’s trade. Silver under the same currency is now at 665.321, losing 2.52 A-Pesos as the swings remain wild under the emerging markets.
The May Deliveries in Silver seems to have slowed down a little with the demand for physicals at 295 fully paid for contracts waiting for receipts and with no Volume up on the board so far this morning proving a reduction of 12 but with no receipts being settled out as of late last night (thank you Harvey). It also seems the Algos are no longer churning the trade, at least since yesterday. What is meant by this statement is the early morning Volumes are only at 17,324 for the July contract which has an Open Interest Count of 154,126. In the past few months we’ve seen giant amounts of churn (in the Volume, in fact, some days the churn was more than the OI count) even when the prices are not moving. Now we see the exact opposite happening, a 10 cent swing in price with a low count under 18k in Volume, this could mean something and maybe even be a positive for the price. Stay Tooned!
Jim Sinclair’s Commentary
The latest from John Williams’ www.shadowstats.com
– INFLATION, PENDING ECONOMIC HEADLINES, MARKET TURMOIL
– Inflation Increase Reflected Gasoline Prices, Not a Booming Economy
– Real Average Hourly Earnings Declined for the Second Straight Month
– Weaker Than Expected Economic Reporting Looms
– Downside Revisions to First-Quarter GDP Should Follow
– Market Sentiment Should Begin Shifting Back Towards a Fed Easing
“Bullet Edition No. 9”