Back to the action. The AM Fix was $1289, the PM Fix $1294.
Get this, the gold open interest shot up a stunning 10,565 contracts yesterday to a new high of 616,130. Yes, somebody wanted gold stopped at $1300 and wanted gold down big today. So yes, somebody got STUFFED, at least for the moment. And how about this one, the open interest of the October contract, which goes into first notice delivery day today went up 3,270 contracts.
Late in the day gold made new highs, rising to $1310 before setting back on the close and silver hit $21.74. Making new highs late is another rarity, although nothing like the nearly unprecedented price reversals. Both gold and silver put in technically constructive outside reversal days to the upside, leaving the shorts scratching their heads.
Why the stuff job today? Well, for one the dollar got nailed, which hurt their plans, but we have seen that before and it has made zero difference in the gold/silver action, ZERO! This was more like it, from John Brimelow this morning:
"Indian ex-duty premiums AM $4.36, PM $5.03 with world gold at $1,292.72 and $1,288.20. Ample and lavish for legal imports. Limited downside here."
In years gone by, the Indian premiums would have disappeared and gone way negative. NOT THIS TIME!
As mentioned over and over again on gold/silver’s way up, if the physical market holds up, which is very tight right now, The Gold Cartel has big problems. Today’s reversal further suggests BIG PROBLEMS!
