Great and Wonderful Wednesday Morning Folks,
Gold is not being allowed to rise with the trade at $1,568.90 down $1.20 after hitting a low at $1,564.40 with a high to beat at $1,571.80. Silver is also not allowed to rally and is trading at $17.605 down 7.2 cents yet recovering from a middle of the night low at $17.525 with the high to beat not that far away at $17.650. The US Dollar continues its stratospheric rise with its value pegged at 98.635, up 4.1 points after being pushed up to 98.725 with the low at 98.580. All of this happened already, before 5 am pst, the Comex open, the London close, and after Bill Holter posted last night’s finale “and so it begins”.
The Emerging Markets Currency Watch should really be showing us some things in the very near future but for now we see the Venezuelan Currency holding Gold’s value at 15,669.39 Bolivar taking another 42.95 away from the price with Silver at 175.830 Bolivar showing another 1.049 in value being removed. In Argentina, the Peso’s price for Gold is now gauged at 95,740.46, proving how strong the push lower is, this time around, with Silver doing the same taking away 3.93 A-Pesos with the price at 1,074.61. In Turkey, Gold’s value is now pegged at 9,480.59 proving a reduction of 7.32 Lira with Silver losing 0.440 with its price now at 106.355 T-Lira.
February Silver’s Delivery Demands is proving an increase in purchases with the Demand Count now at 5 posted up on the board with no trades done so far since the ICE reopened. This proves an increase of 4 more additional buy orders after a Volume of 7 was posted on the board yesterday that had a trading range between $17.715 and $17.695 with the Comex paper contracts forcing the delivery price to close sharply lower (than any real purchases) at $17.573. A nice and fair close, in the eyes of the commissioned regulators, as we wait to see what the DOJ’s criminal element oversight committee tells us what they think. The Overall Open Interest in Silver still remains elevated but is showing a reduction in count of 1,986 Overnighters leaving the total at 221,983 Obligations and after the entire day of trade only showed a Volume of 67,395 inside the March contracts end of trade quote. As of this morning, and during the ICE session, March Silver’s Volume is at 33,681 showing how low yesterday’s activity was compared to right now. James Mc from LeMetroPoleCafé has shown us over the years that these Volumes have exceeded the Open Interest many many times, as we slowly watch this part of the equation slow to a crawl. This should be considered a “tell” for our future price moves.
February Gold’s Delivery Demands now offers a count of 978 fully paid for contracts waiting for receipts proving a reduction of 605 contracts that either got receipts here, in London, or was an entry or exit of some sort of spread trade. Who the hell knows what’s going on with these Crap Numbers that Comex gives? This morning’s Volume inside the delivery contract has a post of 17 and with a trading range between $1,565.20 and $1,561.00 with the last purchase at $1,564.20. Gold’s Overall Open Interest now sits at 657,956 Overnighters proving the reduction of 827 paper contracts.
And So It Begins, Force Majeure is being applied to the manufacturing sector and to the buyers of commodities over in China. The reason of course, is this Coronavirus, that is being investigated as a manmade concoction, with Harvard Professor Charles Lieber under arrest. What Is Force Majeure? “Force majeure refers to a clause that is included in contracts to remove liability for natural and unavoidable catastrophes that interrupt the expected course of events and restrict participants from fulfilling obligations”. You can obtain more understanding here.
What we wonder about most is the timeline of events outside the Virus Infection/Death rate, and its spread, which is rumored to have started very early in December and the way HSBC (Hongkong and Shanghai Banking Corporation) came in and added all those additional short contracts in Gold, that flooded the Comex just before the outbreak occurred. GATA confidant Dave Kranzler from Investment Research Dynamics wrote about the issue last November. Timing is everything and the word “coincidence” is sickening to investors, especially when many of us say and think, “there are no coincidences.” The Diamond Princess Cruise Ship is proving an infection count of 174 showing an increase of 39 in count as the NYP plays with the number of people onboard (3,700 from 2,500??). Let us also recall the incubation guessing’s that increased from 2, to 6, to 14, to 24, over the past few weeks, helping to prove the news is still not the news and we are not getting trustworthy data, unless the governments and their mouthpieces are learning the curve as we do.
It’s hard to remain positive in this environment, but it is healthy to do so, and it makes the smile on our face easy to keep. So, please stay positive and know, that “Chance Prefers The Prepared”, in all things, as we wait for more cancellations via Forced Majeure and the eventual removal of the manipulated shorts from Comex, as always …