SD’s Midweek Market Flash Breaks Down the Action As Triple Witching Week Begins:
Options Expiration, and FOMC Meeting, & CHINESE MARKETS CLOSED For A Week.
We Suspect Nothing Good Will Come of This For Gold & Silver Prices…
Gold and silver sold off hard this morning, with silver down .50 to a low of $16.75, and gold down $25 to a low of $1193.
With options expiration for February gold on Thursday, it appears the bullion banks are intent on capping gold under $1200.
Chinese markets are closed for the next week for Chinese New Year, and the Fed’s FOMC Meeting is scheduled for next Tuesday and Wednesday, so caution is urged over this short term Triple Witching Week – particularly as the metals have just completed 6 weeks of nearly uninterrupted gains.
Platinum also sold off hard this morning, down 2.5% after a big rally to start the week, with the tiny market bursting over $1,000/oz, likely triggered by investment demand due to the US Mint’s launch of the 2017 Platinum Eagle coins.
The Mint released 20,000 coins Monday and Tuesday – matching 2016’s small production – which triggered a mad scramble among wholesalers and retail dealers to source inventory, and saw wholesale premiums soar for the coins.
The Mint advised Authorized Purchasers that it will make a decision at a later point regarding a second small production of the famous platinum bullion coins during the second half of 2017.