Gold and silver spot prices went straight up in a 'flight to quality' on the news from Goldman Sachs that the Fed will have to engage in substantial quantative easing. This analysis received a boost by a much worse than expected existing home sales number, with 3.83 million units sold versus 4.72 million expected.
So the squid threw a rock in the pond ahead of Thursday's precious metals option expiration on the Comex, and caught many traders offsides in what was expected to be the usual 'skin the specs' easy money trade. As the metals market rig starts crumbling look for more players to break ranks and start taking chunks out of the bullion bank elephants for themselves.
Gold Chart Intraday
Silver Chart Intraday
Every empire in its official discourse has said it is not like the others, that its circumstances are special, that it has a mission to enlighten, civilize, bring order and democracy, and that it uses force only as a last resort. And, sadder still, there always is a chorus of willing intellectuals to say calming words about benign or altruistic empires, as if one shouldn't one's eyes watching the destruction and the misery and death brought by the latest 'mission civilisatrice.' Edward W. Said