17 October 2013

Gold Daily and Silver Weekly Charts - Blow the Man Down

After the bell, the newly restored US government announced that we would have the delayed Non-Farm Payrolls report next Tuesday.

And Forbes says No, JPM Is Not Instituting Capital Controls.

Ted Butler has a very insightful piece on how he thinks JPM is managing the silver market.  I suggest that you read it when you can.  I read it on his subscription site the other day, and I am glad he has made this one public.

Gold and silver had a nice rally higher today. It would have been much more enjoyable if it was not in the wake of a heavy handed and totally obvious price takedown.

But it appears that the takedown did its work for the wiseguys. GLD has disgorged over four tonnes of gold bullion this week, and voila, HSBC, the GLD custodian, was able to post 83,000 ounces of gold bullion to storage yesterday. 

There was also an adjustment of 12,000 ounces of gold from the eligible to the deliverable category.  So, crisis averted with the total gold in the Comex warehouses back within spitting distance of 7 million again. 

Or is it. 

I think we are seeing a very obvious endgame strategy here.  The drawdowns in GLD stick out like a sore thumb, with no other ETF bullion category matching it. 

When the time comes, you may have some trouble if you want to get your bullion out of those warehouses, as they start putting up the yellow police tape around them. 

Until then its smooth sailing for the Bankster, right?

But give us some time and we'll blow the man down.

Have a pleasant evening.