After gold & silver rose in price all night and into the morning, the cartel decided to roll-up on the positive sentiment and offer a good old-fashioned paper dump…
Gold and silver had been rising all night and into the morning:
At 8:30 a.m. EST, we received a double-dose of data dumps on the market – CPI (Inflation) and Retail Sales.
And since the metals had been rising through the night and into the morning, the cartel decided to dump a massive amount of paper to stem the rise:
You see, nobody in their right mind decides that they have to all of the sudden sell over 12,000 contracts in one single minute in an illiquid time before the market is even officially open.
That is what we call “precious metals price suppression”
The amount of gold that was “sold” (at the last price of approximately $1331.50) represents over $1,618,837,700 in dollar terms.
The cover that the ESF/Fed has on their side is going to be the dual data releases of CPI and Retail sales.
Keep in mind, it doesn’t matter if the data is “good for gold” or “bad for gold”, the bottom line is the cartel will always look to smash.
So what does the data look like?
Well, according to the Bureau of
Lies Labor Statistics inflation for all items is at 2.1% (core was 1.8%), which is above the Fed’s stated goal of devaluing our debt-based fiat currency by only 2%:
Granted, these numbers are contrived to fit whatever narrative is desired to be pushed, and the “official” statistics chronically and massively understate inflation as it is, but nonetheless, we see the trend of inflation creeping up since late 2015.
As for retail sales, well, December turned out to be a disappointment:
Retail sales rose just .3% month-over-month.
Curiously, the dollar bounced somewhat on the news, but $DXY has been falling all night and is still under 91.50:
The low in the dollar index was 91.01 last September, and it appears we are fast approaching that low:
Grab some Tums or some Pepto because after the knee-jerk, gold and silver are fading the move:
We’ll have to see how long this smash keeps the metals at bay seeing as how the “markets” aren’t even officially open yet.
– Half Dollar
About the Author
U.S. Army Iraq War Combat Veteran Paul “Half Dollar” Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart.