Speculators smash gold as dollar squeeze tightens

Discussion in 'Financial Cents' started by stg58, Jul 20, 2015.


  1. stg58

    stg58 Monkey+++ Site Supporter+ Founding Member

    China fudging their financial numbers?
    Why would the ChiComs reveal anything much less their gold reserves unless they want to drive futures down?

    "The move came after China’s central bank dismayed "gold bugs" by revealing that the country’s bullion reserves stand at just 1,658 tonnes, far lower than widely assumed."



    Gee I wonder who would do this: anonymous funds sold 57 tonnes of gold in Shanghai and New York.


    Looks like metals may take a dive..
    .......................................................
    Gold’s crash isn’t over: prices down 8 sessions, hit 5-year low - MarketWatch
    Gold futures fell for an eight straight session Monday, as data showing China’s gold reserves at half what the market expected helped push prices to their lowest level in more than five years.

    Analysts also attributed gold’s selloff to a combination of bearish price influences, including a stronger U.S. dollar and investors’ waning desire for gold as a haven. Read: The reason gold is in the middle of a ‘perfect storm’

    August gold GCQ5, -0.46% dropped $25.10, or 2.2%, to settle at $1,106.80 an ounce on Comex, after briefly trading as low as $1,080. Prices, which fell over the past seven sessions in a row, haven’t settled at levels this low since March 30, 2010, based on the most-active contracts.




    ................................................
    Speculators smash gold as dollar squeeze tightens - Telegraph

    Powerful speculators have launched an unprecedented attack on the world gold market, driving prices to a five-year low as commodities wilt and the US Federal Reserve prepares to tighten monetary policy.

    Spot prices slumped by more than 4pc to $1,086 an ounce in overnight trading after anonymous funds sold 57 tonnes of gold in Shanghai and New York, choosing the moment of minimum market liquidity in what appears to have been a synchronized strike intended to smash confidence.

    The move came after China’s central bank dismayed "gold bugs" by revealing that the country’s bullion reserves stand at just 1,658 tonnes, far lower than widely assumed. While holdings have risen 60pc since the last update in 2009, they are still a fraction of China’s total $3.7 trillion foreign exchange reserves.

    Ross Norman, a veteran gold analyst at brokers Sharps Pixley, said sellers dumped 7,600 contracts covering 24 tonnes on the Globex exchange in New York in a two-minute span after it opened late on Sunday night.

    A further 33 tonnes were sold at almost exactly the same time in Shanghai. The combined hit of 57 tonnes in such a short period is an extraordinary event in the world’s relatively small gold market.
     
    Last edited: Jul 20, 2015
    Marck and Ganado like this.
  2. Dont

    Dont Just another old gray Jarhead Monkey Site Supporter

    Will have to drop much lower before I could trade some FRN's for the more desirable means of exchange..
     
  3. HK_User

    HK_User A Productive Monkey is a Happy Monkey Site Supporter

    Ya mean, they done got the Gold market rigged?

    Nah, say it ain't so.
     
    Marck, VisuTrac, Ganado and 4 others like this.
  4. Byte

    Byte Monkey+++

    Let's hope it hits $100/oz...then I can actually afford to buy some and boy would I! Physical only, of course. ;)
     
    Dont, Tully Mars and ditch witch like this.
  5. Tully Mars

    Tully Mars Metal weldin' monkey Site Supporter+

    Not to be a thread drift, but panning for gold can actually be fun-and profitable. Used to do it a lot on the property in Colorado. Never found a nugget, but keep the dust in pill bottles.
     
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  6. VisuTrac

    VisuTrac Ваша мать носит военные ботинки Site Supporter+++

    Imagine if you will that the completely transparent Chinese government announces it holds hardly any gold, dumps contracts and rebuys even more with profits from dump. Doesn't sound plausible at all.

    Nah, it's not rigged. Derivatives, now that's rigged ..
     
    Dont, Ganado, HK_User and 2 others like this.
  7. Legion489

    Legion489 Shining the Light of Truth

    This is a gold thread, not an ammunition thread.
     
    Garand69 and Dont like this.
  8. Mountainman

    Mountainman Großes Mitglied Site Supporter+++

    [fnny] [loco] [booze]
     
    Yard Dart likes this.
  9. Dont

    Dont Just another old gray Jarhead Monkey Site Supporter

    You funny!!!
     
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