Theresa May Out and with One Hell of a Huge Q drop!
May 24, 2019
Happy Friday Morning Folks!
Gold is lower during the London trade with the now price at $1,282.10, down $3.30 inside another one of those tight trading ranges between a high of $1,284.70 and the low at $1,280.30. Silver is inside an equally tight trading range with its current price at $14.55, down 6.3 cents and at the same exact price as May Ag’s quote with the high to beat at $14.595 and the low at $14.52 as we wonder about the old adage before Algos took over; “never sell a quiet market”. The US Dollar has a wider range with its value now at 97.675, down 4.8 points within the early morning range between 97.775 and 97.555. All this non-activity was done way before 5 am PST, The Comex open, and before Teresa May finally leaves office.
The Venezuelan Bolivar now has Gold pegged at 12,804.97 Bolivar, regaining another 52.93 overnight with Silver now at 145.318 it too gaining back another .799 in Bolivar value. Argentina’s Peso now has Gold priced under the fiat at 57,791.90 Pesos, a regain of 513.23 Pesos in a huge swing upward with Silver now at 655.865, adding back another 6.603 A-Pesos in whopper type fashion. Turkey’s Lira, our newly added emerging market currency, now has Gold at 7,795.77 T-Lira, losing 36.59 from yesterday’s early morning quote with Silver pegged at 88.4248, a loss of .3506 in value.
May Silver’s delivery demands are now at 209 contracts waiting to be filled and with a Volume of 13 up on the board so far this morning, proving a drop of 48 obligations during yesterday’s trade as the deliveries keep it all real. Silver’s Overall Open Interest proved a point during yesterday’s mini-rally, which caused a few shorts to exit their trades as the count dropped 714 Obligations making the count now 210,256 Overnighters. How tight is the trade and what would happen if the rest of the overwhelming short positions got spooked and exited their trades, which in turn would force the prices higher in order to slow down demand? We don’t have the answers to these questions, but we do believe these inquiries will be answered in very short order.