Saturday, August 4, 2012
Completely Fabricated Jobs Report/All bourses in the green/risk off trading
Good morning Ladies and Gentlemen:
Gold closed up today by $19.30 to finish the comex session at $1606. Silver finished up by 81 cents to $27.79. Gold was immediately smashed on news that the USA had a good jobs number. However, with Europe solidly in the green and with Spanish and Italian 10 yr yields down, gold and silver took off along with the Dow.Europe decided on Friday, that maybe Draghi will get to orchestrate his ESM banking license. It never ceases to amaze me the total manipulation in these markets and the press just look the other way. The key events to watch for will be the 20th of August, when Greece is scheduled to repay 3.2 billion euros back to the ECB from the ESFS. No doubt the ESFS will lend the money to repay the ECB. They may decide to forgo this and immediately default and issue drachmas. If the money is forked over,
then Greece has enough money to keep them going until the beginning of September and at that point, they will probably leave and the drachma will then be reinstituted. So we are just marking time. The USA jobs number released at 8:30 this morning was nothing but a farce. We will outline to you why. Before delving into those stories, let us head over to the comex and assess trading today.
The total gold comex OI fell by a rather large 1901 contracts from 396,778 to 394,877 as investors flee the this gold forum in droves. The front month of August saw its OI fall from 4447 to 3854 for a loss of 583 contracts. We had 547 contracts delivered upon on Thursday, so we lost 46 contracts or 4600 oz of gold standing. The Sept gold contract month saw a gain of 23 contracts, from 1329 to 1356. The Oct delivery month which is generally small in comparison to other months saw its OI rise 1090 contracts, from 27410 to 28,506. The estimated volume on Friday came in at 131,776 which is small. The confirmed volume on Thursday when the bankers orchestrated their big raid came in at 171,019.
The total silver comex OI again, does the opposite to gold, it rose on Friday by 515 contracts from 123,385 to 123,900. The August silver contract month saw its OI fall by 21 contracts, from 31 to 10. We had 13 delivery notices on Thursday, so we lost 8 contracts or 40,000 oz of silver standing. The next big delivery month for silver is September and here the OI fell marginally by 925 contracts from 58,251 to 57,326 as some of these longs rolled into December. The estimated volume on the silver comex on Friday came in at 38,398 which is somewhat on the slower side of things. The confirmed volume on Thursday, was much higher at 49,626.