Gold: $1107.10 up $17.20 (comex closing time)
Silver $14.15 up 4 cents
In the access market 5:15 pm
At the gold comex today, we had a poor delivery day, registering 0 notices for nil ounces.Silver saw 2 notices for 10,000 oz.
Several months ago the comex had 303 tonnes of total gold. Today, the total inventory rests at 199.26 tonnes for a loss of 104 tonnes over that period.
In silver, the open interest fell by 2,830 contracts down to 159,531. In ounces, the OI is still represented by .797 billion oz or 114% of annual global silver production (ex Russia ex China).
In silver we had 2 notices served upon for 10,000 oz.
In gold, the total comex gold OI fell by 1,913 contracts to 408,835 contracts as gold was down $1.60 with yesterday’s trading.
Today both the gold comex and the silver comex are in severe stress with gold in backwardation up to August.
We had no changes into inventory at the GLD, / thus the inventory rests tonight at 657.92 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 no change to inventory/Inventory rests at 313.606 million oz.
First, here is an outline of what will be discussed tonight:
1. Today, we had the open interest in silver fall by 2,830 contracts down to 159,521 despite the fact that silver was up by 23 cents with respect to yesterday’s trading. The total OI for gold fell by 1913 contracts to 408,835 contracts as gold was down $1.60 in price yesterday
2 a) Gold trading overnight, Goldcore
3. ASIAN AFFAIRS
i)Late TUESDAY night,WEDNESDAY morning: Shanghai down badly despite manipulation / Hang Sang falls badly. The Nikkei closed deeply in the red as did all of Asia . Chinese yuan down a touch and yet they still desire further devaluation throughout this year. Oil is much lower, falling below 28 dollars per barrel and clinging to the 27 dollar level. Stocks in Europe all in the red. Offshore yuan trades at 6.6056 yuan to the dollar vs 6.5790 for onshore yuan. The POBC tries to soaks up off shore yuan to no avail as massive dumping occurred in Hong Kong . Hong Kong dollar suffers a decline, and the peg is in jeopardy. The Saudis engage in currency controls to stop bets against the riyal
( zero hedge)
iii) This hedge fund predicts that the yuan will devalue by a huge 50%
iv)And then there is this account which should also give you a good idea as to what is happening to Chinese factory workers:
ii) Financial entities in Italy and Greece cash/bond prices collapse/yields skyrocket:
i) Canada is in a pickle: it needs to lower the Cdn dollar to help the oil patch.
i)Crude early last night falls below 28 dollars and with that it drags the entire globe equity markets lower:
( zero hedge)
ii) Then late in the morning, it slips below 27 dollars
iii) Bankrupt shale boys cannot give their assets away.
iv) Late in the day oil falls again due to API huge inventory build:
i)a. Please read Egon Von Greyerz’s important piece embedded in the following Embry/Kingworld piece
( Ambrose Evans Pritchard/UKTelegraph/GATA)
iii) Donald trump is to engage in higher currency wars and this should benefit gold:
i) Goldman posts the worst 4th quarter revenue since 2011:
ii) The Fed needs to inflate. More bad news for the Fed as the CPI drops in December. However it is good news for consumers:
iii) Average earnings for USA citizens shows the weakest growth in a year:
v)Ray Dalio is one person you must pay attention to:
vi) The following story is quite logical. The truth behind the two American vessels being captured off Farsi island in the Gulf is the fact that Iran had the capability to disarm both of the boats. GPS systems:
vii) Dave Kranzler on the global state of economic affairs
Let us head over to the comex:
The total gold comex open interest fell to 408,835 for a loss of 1913 contracts as gold was down $1.60 in price with respect to yesterday’s trading. For the past two years, we have strangely witnessed two interesting developments with respect to the gold open interest: 1) total gold comex collapse in OI as we enter an active delivery month, and 2) a continual drop in the amount of gold standing in an active month. Today, both scenarios held. We are now in the non active January contract which saw it’s OI fall by 4 contracts to 216. We had 2 notices filed on yesterday, so we lost 2 contracts or an additional 200 oz will not stand for delivery in this non active delivery month of January. The next big active delivery month is February and here the OI fell by 10,589 contracts down to 200,960.First day notice is Friday, Jan 29.2016. The estimated volume today (which is just comex sales during regular business hours of 8:20 until 1:30 pm est) was 203,406 which is good. The confirmed volume yesterday (which includes the volume during regular business hours + access market sales the previous day was also fair at 188,714 contracts. The comex is deeply into backwardation up until October.
December contract month:
INITIAL standings for January
|Withdrawals from Dealers Inventory in oz||nil|
|Withdrawals from Customer Inventory in oz nil||nil oz|
|Deposits to the Dealer Inventory in oz||nil|
|Deposits to the Customer Inventory, in oz|| 3,312.620 oz
|No of oz served (contracts) today||0 contracts
|No of oz to be served (notices)||216 contracts(21,600 oz)|
|Total monthly oz gold served (contracts) so far this month||12 contracts (1200 oz)|
|Total accumulative withdrawals of gold from the Dealers inventory this month||nil|
|Total accumulative withdrawal of gold from the Customer inventory this month||50,704.4 oz|
Total customer deposits 3312.820 oz
we had 0 adjustments.
Here are the number of oz held by JPMorgan:
January INITIAL standings/
|Withdrawals from Dealers Inventory||nil|
|Withdrawals from Customer Inventory||1,072,616.150 oz, CNT,Delaware|
|Deposits to the Dealer Inventory||nil|
|Deposits to the Customer Inventory||6952.990 oz
|No of oz served today (contracts)||2 contracts
|No of oz to be served (notices)||17 contracts (85,000 oz)|
|Total monthly oz silver served (contracts)||97 contracts (485,000 oz)|
|Total accumulative withdrawal of silver from the Dealers inventory this month||nil oz|
|Total accumulative withdrawal of silver from the Customer inventory this month||3,327,004.4 oz|
Today, we had 0 deposits into the dealer account:
total dealer deposit;nil oz
we had 0 dealer withdrawals:
total dealer withdrawals: nil
we had 1 customer deposits:
i) Into CNT: 6952.990 oz
total customer deposits: 6952.990 oz
total withdrawals from customer account: 1,072,616.150 oz
we had 1 adjustments:
i) Out of CNT vaults:
45,792.75 oz was adjusted out of the dealer and this landed into the customer account of CNT
And now the Gold inventory at the GLD:
jan 20/ no change in inventory at hte GLD/Inventory rests at 657.92 tonnes
Jan 19/no change in inventory at the GLD/Inventory rests at 657.92 tonnes
jan 15.2016/a huge deposit of 3.86 tonnes of inventory at the GLD/Inventory rests at 657.92 tonnes
I doubt that this is real gold/probably a paper gold addition.
Jan 14/ no changes into inventory at the GLD/Inventory rests at 654.06 tonnes.
JAN 13.2016/another huge deposit of 2.38 tonnes in gold inventory at the GLD/Inventory rests at 654.06 tonnes
JAN 12/no change in inventory at the GLD/Inventory rests at 651.68 tonnes
JAN 11./another 2.09 tonnes of gold addition (deposit) to the GLD/Inventory rests at 651.68 tonnes.again, I doubt that the gold added was physical.
jan 8/another huge addition of 4.46 tonnes of gold into GLD/Inventory rests at 649.59 tonnes
- I highly doubt that the gold added was physical. Gold is severely in backwardation in London and thus almost impossible to source in two days almost 9 tonnes of gold.
Jan 7/a huge addition of 4.16 tonnes of gold into GLD/Inventory rests at 645.13 tonnes
Jan 6/2016/we had a withdrawal of 1.6 tonnes of gold from the GLD/Inventory rests at 640.97 tonnes/
Jan 5/2016: since my last report we had a total of 3.57 tonnes of gold withdrawal from the GLD/Inventory rests at 642.37 tonnes
Jan 20.2016: inventory rests at 657.92 tonnes