http://harveyorgan.blogspot.com/2012/06/operation-twist-is-extended-until-end.html
The total silver comex OI is tearing out the hair of our banker cartel members. The OI again did the opposite to gold as it rose by a monstrous 1183 contracts from 121,325 to 122,508. The non official delivery month of June saw it's OI rise from 14 to 19 despite 3 notices filed. We thus gained 8 contracts or 40,000 oz of additional silver standing. We are now a little more than one week away from first day notice in the July silver contract. Here the OI contracted a tiny 1307 contracts from 37,174 to 35,867. Generally the contraction is around 4,000 as we head into the delivery month. The estimated volume today was a scorcher coming in at 72,438 without any rollovers. By goodness our bankers are brave providing the non backed paper today which swelled in volume due to their antics. The confirmed volume yesterday was pretty good also at 42,936.
Operation Twist is extended until end of year and in duration/
Good evening Ladies and Gentlemen:
Gold closed down today by $7.40 to $1614.80. Silver rose by 2 cents to $28.38.
The entire world checked to Ben Bernanke today and as I forecasted to you yesterday, he extended operation twist to include the purchase of longer dated bonds and the selling of treasury bonds of three year duration or less. Because the net effect is zero, it does not add to the balance sheet. The Feds still do not state how they can run a deficit of 1.5 trillion dollars per year and with no nation on earth buying these USA treasuries how on earth does the Fed balance sheet stay constant? Greece has a new government and they are now drawing up new demands on Germany which will be flatly rejected. Finland also is asking for extended collateral with respect to the new financing arm the ESM. The Bank of England is also ready for more stimulus over there.
Before going into these and other physical stories, let us now head over to the comex and assess the damage today.
The total gold comex OI fell by 1876 contracts from 420,368 to 418,492 as gold had a good time yesterday. Probably we witnessed some bank short covering yesterday and for sure today. The front delivery month of June saw its OI fall by a huge 499 contracts from 1177 to 688 with only 44 notices filed yesterday. Therefore it is quite obvious that we had a big cash settlement of 455 contracts or 45500 oz.It would be very unusual for a purchaser to stand this late in this month and then give up and roll. The next delivery month is August and here the OI fell by a huge 5293 contracts from 228,344 to 223,051. The estimated volume today was huge at 193,875 as our heroes the banks supplied the massive non backed paper with background cheering from our regulators who seem to enjoy this soap opera.
Gold closed down today by $7.40 to $1614.80. Silver rose by 2 cents to $28.38.
The entire world checked to Ben Bernanke today and as I forecasted to you yesterday, he extended operation twist to include the purchase of longer dated bonds and the selling of treasury bonds of three year duration or less. Because the net effect is zero, it does not add to the balance sheet. The Feds still do not state how they can run a deficit of 1.5 trillion dollars per year and with no nation on earth buying these USA treasuries how on earth does the Fed balance sheet stay constant? Greece has a new government and they are now drawing up new demands on Germany which will be flatly rejected. Finland also is asking for extended collateral with respect to the new financing arm the ESM. The Bank of England is also ready for more stimulus over there.
Before going into these and other physical stories, let us now head over to the comex and assess the damage today.
The total gold comex OI fell by 1876 contracts from 420,368 to 418,492 as gold had a good time yesterday. Probably we witnessed some bank short covering yesterday and for sure today. The front delivery month of June saw its OI fall by a huge 499 contracts from 1177 to 688 with only 44 notices filed yesterday. Therefore it is quite obvious that we had a big cash settlement of 455 contracts or 45500 oz.It would be very unusual for a purchaser to stand this late in this month and then give up and roll. The next delivery month is August and here the OI fell by a huge 5293 contracts from 228,344 to 223,051. The estimated volume today was huge at 193,875 as our heroes the banks supplied the massive non backed paper with background cheering from our regulators who seem to enjoy this soap opera.
The total silver comex OI is tearing out the hair of our banker cartel members. The OI again did the opposite to gold as it rose by a monstrous 1183 contracts from 121,325 to 122,508. The non official delivery month of June saw it's OI rise from 14 to 19 despite 3 notices filed. We thus gained 8 contracts or 40,000 oz of additional silver standing. We are now a little more than one week away from first day notice in the July silver contract. Here the OI contracted a tiny 1307 contracts from 37,174 to 35,867. Generally the contraction is around 4,000 as we head into the delivery month. The estimated volume today was a scorcher coming in at 72,438 without any rollovers. By goodness our bankers are brave providing the non backed paper today which swelled in volume due to their antics. The confirmed volume yesterday was pretty good also at 42,936.
June 20.2012
and.....
"Inflation [in China] is high and there is a low chance to invest in property and little desire to participate in the stock market. But disposable income is rising and people want to protect their wealth," said Helen Lau, a senior metals and mining analyst at securities firm UOB Kay Hian.
In contrast, demand in India, which was traditionally the world’s biggest buyer of gold, is weakening. Indian demand has suffered from the government’s introduction of an unpopular tax on gold that was subsequently removed and a persistent weakness in the rupee as the economy slows.
The poor performance of the rupee means that gold appears extremely expensive to an Indian consumer. It is trading near all-time highs in India, at around 30,000 rupees ($536) per 10 grams.
Morgan Stanley’s most recent India Gold Survey shows that demand for gold in the country is divided equally among individual consumption, investment and spending on events like weddings and religious festivals.
There’s also a continued interest in gold as an investment because from a rupee perspective, gold has been the best-performing asset over the last 10 years.
Expected gains in gold and low volatility are the main drivers of Indian investment demand, more so than inflation, so the high price is not necessarily a deterrent.
"If the gold value starts to fall off in rupee terms, that could affect the return perception, which could have an effect on demand," said Ridham Desai, Morgan Stanley’s India head of research.
Indians will continue paying more money for less gold, Morgan Stanley predicts: The bank forecasts demand in volume will fall by 4% in 2012, while rising by 4% in value.http://blogs.wsj.com/marketbeat/2012/06/20/in-gold-market-china-sparkles-as-india-fades/
-END-
The USA my creating sanctions against Iran has now caused Turkey and Iran to trade in gold.
The trading of gold between these two nations is expected to be 80 to 82 tonnes of gold. This added demand again causes pressure on our banking cartel as it is getting harder and harder to locate the necessary physical gold;
Turkey's energy minister Taner Yildiz said the country has already been using gold in Iranian trade and Iran bought gold worth $1.2 billion in April of this year alone. Turkey aims at increasing gold production to 34-36 tons a year in the short run from the current 24 tons, the minister said.
Along with the private companies, the public sector also contributes to this. he added.
Trade between Turkey and Iran has risen sharply over the past decade, and Turkey was regarded as a possible weak link in international sanctions against Iran.
Turkey is planning a money exchange structure with Iran which will cut the usage of U.S. dollars as much as possible and develop trade with the two countries' national currencies, he
said.The minister's statement came at a time when Iran, suffering from money transaction problems due to a hard U.S. embargo, is seeking opportunities in the Turkish banking sector.
Turkey has already taken steps to trade with local currencies with a number of countries including India, Russia, China and Iran.and then this from the Golden Truth/Dave from Denver:
In contrast, demand in India, which was traditionally the world’s biggest buyer of gold, is weakening. Indian demand has suffered from the government’s introduction of an unpopular tax on gold that was subsequently removed and a persistent weakness in the rupee as the economy slows.
The poor performance of the rupee means that gold appears extremely expensive to an Indian consumer. It is trading near all-time highs in India, at around 30,000 rupees ($536) per 10 grams.
Morgan Stanley’s most recent India Gold Survey shows that demand for gold in the country is divided equally among individual consumption, investment and spending on events like weddings and religious festivals.
There’s also a continued interest in gold as an investment because from a rupee perspective, gold has been the best-performing asset over the last 10 years.
Expected gains in gold and low volatility are the main drivers of Indian investment demand, more so than inflation, so the high price is not necessarily a deterrent.
"If the gold value starts to fall off in rupee terms, that could affect the return perception, which could have an effect on demand," said Ridham Desai, Morgan Stanley’s India head of research.
Indians will continue paying more money for less gold, Morgan Stanley predicts: The bank forecasts demand in volume will fall by 4% in 2012, while rising by 4% in value.http://blogs.wsj.com/marketbeat/2012/06/20/in-gold-market-china-sparkles-as-india-fades/
-END-
The USA my creating sanctions against Iran has now caused Turkey and Iran to trade in gold.
The trading of gold between these two nations is expected to be 80 to 82 tonnes of gold. This added demand again causes pressure on our banking cartel as it is getting harder and harder to locate the necessary physical gold;
TURKEY-IRAN ANNUAL TRADE INVOLVES GOLD UPTO 82 TONS
Turkey aims at increasing gold production to 34-36 tons a year in the short run from the current 24 tonsANKARA(BullionStreet): Europe's largest gold prodcuer Turkey said it's annual use of gold in trade with Iran is between 80-82 tons.Turkey's energy minister Taner Yildiz said the country has already been using gold in Iranian trade and Iran bought gold worth $1.2 billion in April of this year alone. Turkey aims at increasing gold production to 34-36 tons a year in the short run from the current 24 tons, the minister said.
Along with the private companies, the public sector also contributes to this. he added.
Trade between Turkey and Iran has risen sharply over the past decade, and Turkey was regarded as a possible weak link in international sanctions against Iran.
Turkey is planning a money exchange structure with Iran which will cut the usage of U.S. dollars as much as possible and develop trade with the two countries' national currencies, he
said.The minister's statement came at a time when Iran, suffering from money transaction problems due to a hard U.S. embargo, is seeking opportunities in the Turkish banking sector.
Turkey has already taken steps to trade with local currencies with a number of countries including India, Russia, China and Iran.and then this from the Golden Truth/Dave from Denver:
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