Good evening Ladies and Gentlemen:
Here are the following closes for gold and silver today:
Gold: $1183.00 up $2.10 (comex closing time)
Silver: $15.73 up 7 cents (comex closing time)
In the access market 5:15 pm
Judging from the volatility in the uSA index today, I strongly believe that we had a derivative meltdown of some sort. The total USA dollar short position by major players is 9 trillion USA according to the iMF. The USA dollar has gone from 80 up to 91.5 for a 14.3% loss. Coupled with this, the players then bought oil plus other commodities and that as well as seen a huge fall. There is also a huge problem with a potential Greece exit. All of these combined could add up to a trillion dollar loss to the major USA banking system (the major banking underwriters)
The gold comex today had a poor delivery day, for the second day notice for the January contract month registering 0 notices served for nil oz. Silver comex registered 4 notices for 20,000 oz.
Three months ago the comex had 303 tonnes of total gold. Today the total inventory rests at 245.58 tonnes for a loss of 57 tonnes over that period.
In silver, the open interest rose by 1,621 contracts despite Wednesday’s silver price fall of 68 cents. It is obvious that somebody is taking on the banks. The total silver OI still remains relatively high with today’s reading at 151,215 contracts. The January silver OI contract reads 104 contracts.
In gold we had a decrease in OI with the fall in price of gold on Wednesday to the tune of $16.30. The total comex gold OI rests tonight at 371,646 for a loss of 2332 contracts. The January gold contract reads 353 contracts
TRADING OF GOLD AND SILVER TODAY
you have more important things to read instead of how gold/silver traded today.
Today, gold inventory from the GLD remained constant/Inventory 709.02 tonnes
In silver,no change in silver inventory/
SLV’s inventory rests tonight at 329.564 million oz
We have a few important stories to bring to your attention today…
Let’s head immediately to see the major data points for today
First: GOFO rates:
Not reporting today.
Sometime in January the LBMA will officially stop providing the GOFO rates.
Jan 2 2015
Dec 31 2014:
-.042% -.0225% -.00 % +.025% +.13667%
Let us now head over to the comex and assess trading over there today.
Here are today’s comex results:
The total gold comex open interest fell today by 2,336 contracts from 373,982 all the way down to 371,646 with gold down by $16.30 on Wednesday (at the comex close). . We are now onto the January contract month. The non active January contract month fell by 36 contracts down to 353. We had 2 contracts served up on Wednesday. Thus we lost 34 contracts or 3,400 additional oz will not stand. The next big delivery month is February and here the OI fell to 214,569 contracts for a loss of 2,532 contracts. The estimated volume today was poor at 62,339. The confirmed volume on Wednesday was also poor at 77,5343 even although they had some help from our high frequency traders. The comex now has no credibility and many investors have vanished from this crooked casino. Today we had 0 notices filed for nil oz .
And now for the wild silver comex results. Silver OI rose by 1,621 contracts from 149,594 up to 151,215 despite the fact that silver was down by 68 cents on Wednesday. The front January contract month saw its OI fall by 15 contracts down to 104. We had 12 notices filed on Wednesday, so we lost 3 contracts or 15,000 oz will not stand. The estimated volume today was simply awful at 15,812. The confirmed volume on Wednesday was poor as well at 29,522. We had 4 notices filed for 20,000 oz today.
January initial standings
|Withdrawals from Dealers Inventory in oz||nil oz|
|Withdrawals from Customer Inventory in oz||32.15 (Brinks) oz 1 kilobar|
|Deposits to the Dealer Inventory in oz||nil|
|Deposits to the Customer Inventory, in oz||nil oz|
|No of oz served (contracts) today||0 contracts(nil oz)|
|No of oz to be served (notices)||353 contracts (35,300 oz)|
|Total monthly oz gold served (contracts) so far this month||2 contracts(200 oz)|
|Total accumulative withdrawals of gold from the Dealers inventory this month|
Total accumulative withdrawal of gold from the Customer inventory this month
Today, we had 0 dealer transactions
total dealer withdrawal: nil oz
we had 0 dealer deposit:
total dealer deposit: nil oz
we had 1 customer withdrawals
i) Out of Brinks: 32.15 oz (1 kilobar)
total customer withdrawal: 32.15 oz
we had 0 customer deposits:
total customer deposits; nil oz
We had 0 adjustments
Today, 0 notice was issued from JPMorgan dealer account and 0 notices were issued from their client or customer account. The total of all issuance by all participants equates to 0 contracts of which 0 notices were stopped (received) by JPMorgan dealer and 0 notices were stopped (received) by JPMorgan customer account.
To calculate the total number of gold ounces standing for the December contract month, we take the total number of notices filed for the month (2) x 100 oz or 200 oz to which we add the difference between the January OI (353) minus the number of notices served upon today (0) x 100 oz =35,500 the amount of gold oz standing for the January contract month. (1.104 tonnes of gold)
Thus the initial standings:
2 (notices filed for the month x 100 oz) +OI for January (353) – 0(no. of notices served upon today) =35,500 oz (1.104 tonnes)
we lost 34 contracts or 3400 additional ounces will not stand.
Total dealer inventory: 770,987.09 oz or 23.98 tonnes
Total gold inventory (dealer and customer) = 7.895 million oz. (245.58) tonnes)
Several weeks ago we had total gold inventory of 303 tonnes, so during this short time period 57 tonnes have been net transferred out. We will be watching this closely!
This initializes the month of January for gold.
And now for silver
Jan 2 2015:
January silver: initial standings
|Withdrawals from Dealers Inventory||nil oz|
|Withdrawals from Customer Inventory||9,662.000 (Brinks) oz|
|Deposits to the Dealer Inventory||nil|
|Deposits to the Customer Inventory||nil|
|No of oz served (contracts)||4 contracts (20,000 oz)|
|No of oz to be served (notices)||100 contracts (500,000 oz)|
|Total monthly oz silver served (contracts)||16 contracts (80,000 oz)|
|Total accumulative withdrawal of silver from the Dealers inventory this month|
|Total accumulative withdrawal of silver from the Customer inventory this month||47,414.0 oz|
Today, we had 0 deposits into the dealer account:
total dealer deposit: nil oz
we had 0 dealer withdrawal:
total dealer withdrawal: nil oz
We had 0 customer deposits:
total customer deposit nil oz
We had 1 customer withdrawal:
i) Out of Delaware: 9,662.000 oz ??? the farce continues!!
total customer withdrawal: 9,662.000 oz
we had 1 adjustment and this is a strange one!!
i) out of Brinks: an exact 1,164.000 oz leaves as an accounting error.
i.e. an exact amount. How could this be possible??
Total dealer inventory: 64.604 million oz
Total of all silver inventory (dealer and customer) 175.526 million oz.
The total number of notices filed today is represented by 4 contracts for 20,000 oz. To calculate the number of silver ounces that will stand for delivery in December, we take the total number of notices filed for the month (16) x 5,000 oz to which we add the difference between the OI for the front month of January (104) – the Number of notices served upon today (4) x 5,000 oz = 580,000 oz the number of ounces standing so far for the January delivery month.
Initial standings for silver for the January contract month:
16 contracts x 5000 oz= 80,000 oz +OI standing so far in January (104)- no. of notices served upon today(4) x 5,000 oz = 580,000 oz
we lost 3 contracts or 15,000 additional oz will not stand
for those wishing to see the rest of data today see:
The two ETF’s that I follow are the GLD and SLV. You must be very careful in trading these vehicles as these funds do not have any beneficial gold or silver behind them. They probably have only paper claims and when the dust settles, on a collapse, there will be countless class action lawsuits trying to recover your lost investment.
There is now evidence that the GLD and SLV are paper settling on the comex.
***I do not think that the GLD will head to zero as we still have some GLD shareholders who think that gold is the right vehicle to be in even though they do not understand the difference between paper gold and physical gold. I can visualize demand coming to the buyers side:
i) demand from paper gold shareholders
ii) demand from the bankers who then redeem for gold to send this gold onto China
vs no sellers of GLD paper.
And now the Gold inventory at the GLD:
Jan 2 2015: inventory remained constant/inventory 709.02 tonnes
Dec 31.2014: we lost another 1.79 tonnes of gold at the GLD today/Inventory 709.02 tonnes
Dec 30.2014/ we lost 1.49 tonnes of gold at the GLD today/inventory 710.81 tonnes
Dec 29.2014 no change in gold inventory at the GLD/inventory 712.30 tonnes
Dec 26.2013/ a small loss of .6 tonnes of gold. Inventory tonight at 712.30 tonnes
Dec 24.2014: wow!! somebody robbed the cookie jar/ we had a huge withdrawal of 11.65 tonnes from the GLD inventory/inventory at 712.90 tonnes. England must be bleeding badly!
Dec 23.2014; no change in gold inventory at GLD/724.55 tonnes
Dec 22.2014: no change in gold inventory at the GLD/724.55 tonnes
Dec 19.2014: a huge addition of 2.99 tonnes at the GLD/724.55 tonnes
Dec 18.2014: no change in inventory at the GLD/721.56 tonnes
Dec 17.2014: no change in inventory at the GLD/721.56 tones
Dec 16.2015 we lost 1.80 tonnes in tonnage at the GLD/721.56 tonnes
Dec 15.2014: we lost 2.39 tonnes of gold inventory at the GLD/Inventory at 723.36 tonnes
dec 12.2014: we had no change in gold inventory/GLD inventory 725.75 tonnes
Dec 11.2014: we had another addition of .95 tonnes of gold inventory at the GLD/Inventory 725.75 tonnes
dec 10.2014: we gained another 2.99 tonnes of gold at the GLD. If China cannot get its gold from London, then its only source will be the FRBNY.
Inventory: 724.80 tonnes
Dec 9.2014: we gained 2.69 tonnes of gold/inventory 721.81 tonnes
Today, Jan 2/2015 / no change in gold inventory at the GLD /Inventory rests tonight at 709.92 tonnes
inventory: 709.02 tonnes.
The registered vaults at the GLD will eventually become a crime scene as real physical gold departs for eastern shores leaving behind paper obligations to the remaining shareholders. There is no doubt in my mind that GLD has nowhere near the gold that say they have and this will eventually lead to the default at the LBMA and then onto the comex in a heartbeat (same banks).
GLD : 709.02 tonnes.
And now for silver (SLV):
jan 2.2015: no change in silver inventory/ Inventory 329.563 million oz
Dec 31.2014: we had no change in silver inventory at the SLV./Inventory
at 329.563 million oz
Dec 30.2014: we lost another 574,000 oz of silver from the SLV/Inventory at 329.564 million oz/
Dec 29.2014 we had a small loss of 431,000 oz at the SLV to probably pay for fees/inventory 330.138 million oz.
Dec 26/ no change in silver inventory at the SLV/inventory 330.569
Dec 24.2014: we had a huge loss of 7.566 million oz/inventory 330.569 million oz
Dec 23.2014: no change in silver inventory/338.135 million oz
Dec 22.2014: today we lost 862,000 oz of silver inventory from the SLV. this left late Friday night./Inventory 338.135 million oz
Dec 19.2014; No change in silver inventory at the SLV/Inventory 338.997 million oz.
Dec 18.2014: we lost 2.012 million oz of silver from the SLV vaults/inventory 338.997 million oz
Dec 17.2014: no change in silver inventory/SLV 341.009 million oz
Dec 16.2014/ no change in silver inventory/SLV 341.009 million oz
Dec 15.2014: we lost 1.341 million oz of silver at the SLV/Inventory 341.009 million oz
Dec 12.2014 no change in silver inventory at the SLV/Inventory at 342.35 million oz
Dec 11.2014: we lost 2.873 million oz of silver inventory at the SLV/Inventory 342.35 million oz
December 10.2014; no change in inventory/345.223 million oz
Jan 2/2015 /we had no change in silver inventory at the SLV
registers: 329.564 million oz
Central fund of Canada will update only on Monday.
And now for our premiums to NAV for the funds I follow:
Note: Sprott silver fund now for the first time into the negative to NAV
Sprott and Central Fund of Canada.
(both of these funds have 100% physical metal behind them and unencumbered and I can vouch for that)
1. Central Fund of Canada: traded at Negative 10.1% percent to NAV in usa funds and Negative 9.9 % to NAV for Cdn funds!!!!!!!
Percentage of fund in gold 62.0%
Percentage of fund in silver:37.5.%
( Jan 2/2015)
2. Sprott silver fund (PSLV): Premium to NAV rises to + 1.29%!!!!! NAV (Jan 2/2015)
3. Sprott gold fund (PHYS): premium to NAV rises to negative -0.58% to NAV(Jan 2/2015)
Note: Sprott silver trust back into positive territory at +1.29%.
Sprott physical gold trust is back in negative territory at -0.58%
Central fund of Canada’s is still in jail.
And now for your most important physical stories on gold and silver today:
Early gold trading from Europe early Friday morning:
(courtesy Mark O’Byrne/Goldcore)
Review of 2014 – Gold Second Best Currency, +13% in EUR, +6% GBP
We would like to take this opportunity to wish all our clients and our growing community of subscribers a peaceful, prosperous and healthy 2015.
At the end of each year, it is important to take stock and review how various assets have performed and what has transpired in the year gone past, as it will give indications as to how assets will perform in the coming year and, more importantly, years.
Gold Second Best Currency In 2014 – Higher In All Currencies Except Dollar
Gold was the second best performing currency in 2014, with only the U.S. dollar stronger.
The Gold fix on December 31st 2014 was USD 1,199.25, EUR 986.55 and GBP 769.84 per ounce.
The Gold fix on December 31st 2013 was USD 1,201.50, EUR 872.55 and GBP 726.99 per ounce.
Gold was marginally lower in dollars in 2014 but rose in all other major currencies. Gold in euro and pound rose 13 percent and 6 percent respectively. Gold in yen rose 15 percent in 2014.
Gold for February delivery fell $16.30, or 1.4%, to settle at $1,184.10 an ounce on the New York Mercantile Exchange on Wednesday (Dec 31st), to end the year 1.3% lower for the year. A year ago, gold’s most-active contract settled at $1,202.30 an ounce.
Gold ended the year 14% off its 2014 high of $1,379 an ounce set in mid March after the price surge at the start of the the year in January, February and March.
China’s yuan closed at 6.2040 against the dollar on Wednesday, ending 2014 with a loss of 2.4 percent against the dollar and 1% against gold. The yuan fell as China has engaged in its own QE and competitive currency devaluation – currency wars continued quietly in 2014.
Gold again protected investors in the Eurozone with the 13 percent gain. Gold rose nearly exactly €100 from EUR 876 per ounce to close at EUR 980 per ounce. Gold again acted as a classic safe haven for investors exposed to the euro, and markets and assets denominated in euros.
The gains in euro terms and move back towards EUR 1,000 per ounce may also signal concerns about some form of ECB QE or money printing and debt monetisation in the coming months.
Gold in sterling saw similar gains to those in euro but sterling was a stronger currency in 2014 and therefore gains were not as much. There was a similar chart trajectory with gains in the early part of the year followed by a retracement and consolidation and then a sell off towards the end of October, followed by a slight bounce higher.
The price falls in October and into year end in dollar terms took place despite a positive fundamental backdrop and despite the risk of contagion in the Eurozone, concerns about global economic growth, the emergence of Ebola and the twin geopolitical risks emanating from tensions and war in the Middle East and tensions with Russia leading to the economic slowdown in Russia and collapse of the rouble.
The falls on Wednesday, the last day of the year, may have been due to the usual suspects on Wall Street pushing prices lower in order to again “paint the tape” and engender further negative sentiment in the western gold market.
Indeed, trading in December had all the hallmarks of an entity or entities attempting to keep the gold price below $1,200/oz. It is worth noting that the price low last year was on December 31st.
Given that 2014 was the year that manipulation and rigging of the gold market was proven after years of allegations, it would be naive to discount the possibility of further manipulation, especially given the fact that banks found guilty of rigging markets received risible punishment – mere slaps on the wrist. These will be unlikely to prevent further price rigging.
Despite the slight loss for gold in dollar terms and very negative sentiment, globally gold had a very good year.
Many currencies were severely devalued in 2014 as currency wars continue unabated.
Gold acted as a safe haven to many people in countries around the world. Gold rose strongly in many currencies such as the Syrian pound, Ukrainian hryvnia and of course the Russian rouble.