DEC 3/A MASSIVE 16.00 TONNES OF GOLD LEAVES THE GLD HEADING TO SHANGHAI/ A SMALL 131,000 OZ OF SILVER LEAVES THE SLV/DRAGHI DISAPPOINTS WITH NO QE AND THIS CAUSES GOLD/SILVER TO RISE/EURO JUMPS T…

Jon Fiscal Policies, Gold, Market Commentary, Precious Metals, Silver

Gold: $1061.70 up $7.50 (comex closing time)
Silver: $14.05 up 7 cents
In the access market 5:15 pm
Gold $1062.25
Silver: $14.08
At the gold comex today, we had an extremely poor delivery day, registering again 0 notices for nil ounces. And this is the biggest delivery month of the year for gold? Silver saw 75 notices for 375,000 oz.
Several months ago the comex had 303 tonnes of total gold. Today, the total inventory rests at 200.52 tonnes for a loss of 102 tonnes over that period.
In silver, the open interest rose by 1579 contracts despite the fact that silver was down 7 cents with respect to yesterday’s trading. Generally we are witnessing a massive OI contraction once we approach the first few days of an active delivery month and they did not disappoint us with first day notice results. I promised you that we should start to see the OI in silver start to rise from this level and they did not disappoint me. The total silver OI now rests at 164,865 contracts In ounces, the OI is still represented by .824 billion oz or 117% of annual global silver production (ex Russia ex China).
In silver we had 75 notices served upon for 375,000 oz.
In gold, the total comex gold OI rose by 1579 contracts as the OI jumped to 398,649 contracts despite the fact that gold was down by $9.60 with respect to yesterday’s trading. It sure looks like the commercials were buying and the oblivious specs were the shorters.
We had a huge change in gold inventory at the GLD, a massive withdrawal of 16.00 tonnes of gold heading straight to Shanghai/ thus the inventory rests tonight at 638.80 tonnes. The appetite for gold coming from China is depleting not only gold from the LBMA and GLD but also the comex is bleeding gold. Our 670 tonnes of rock bottom inventory in GLD gold has been broken. It looks to me that China has taken the last amounts of physical gold from the GLD. I guess the only place left for China to receive physical gold, after they deplete the GLD will be the FRBNY and the comex. In silver, we had a small withdrawal of 131,000 oz and this was probably to pay for fees, / Inventory rests at 319.220 million oz.
First, here is an outline of what will be discussed tonight:

This post was published at Harvey Organ Blog on December 3, 2015.