12 January 2016

Gold Daily and Silver Weekly Charts - Utopia for the Paper Gold Alchemists


"An acute shortage of readily marketable physical gold is developing that we believe will deepen in years to come. This possibility seems to be unrecognized by those who are short the gold market through paper contracts.

The relentless dumping of synthetic or paper gold contracts since 2011 by speculators in Western financial markets has caused the shortage. The steady selling has driven down the price of physical gold, hobbled the gold-mining industry, and drained the stores of gold held in the vaults of Western financial centers.

We believe that the shortage will worsen because (1) the precursors of production (exploration, discovery, reserve life) are very negative, (2) the mining industry has little financial credibility and seems unlikely to attract capital even with a big rise in gold prices, and (3) refining capacity limitations tend to create supply bottlenecks when physical demand spikes."

John Hathaway, Utopia For the Paper Gold Alchemists

John Hathaway of Tocqueville Funds has a newsletter, which supplied the quote above, that is worth reading here.

There were no deliveries in precious metals at The Bucket Shop yesterday.

And there was little net movement in the warehouses either.

Have a pleasant evening.









SP 500 and NDX Futures Daily Charts - Calming the Herd


Stocks managed to hang on to a bounce.

The NASDAQ marked its first 'green' close for 2016.

There was little in the way of economic news.

More earnings after the bell.

Have a pleasant evening.





11 January 2016

Gold Daily and Silver Weekly Charts - Commodities Spanked


Gold and silver were sliding lower today, down a bit along with most other commodities which were getting hammered.

There were no deliveries to speak of at The Bucket Shop last Friday.

There were some inflows of silver into the warehouses as shown below.

Have a pleasant evening.






SP 500 and NDX Futures Daily Charts - Late Day Save and Earnings Season Begins


Stocks closed a wild ranging day with an early attempt to rally falling into the red, and a late day effort managing to take them out pretty much unchanged.

Alcoa kicked off earnings season after the bell by beating earnings and missing revenues.

There was no other US economic data of note.

The global stock selloff continues.

Have a pleasant evening.