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Uranium Energy Corp NYSE MKT UEC is pleased to

center_img Platinum hit its low of the day shortly before London opened—and then rallied quietly until just about lunchtime in New York.  From there it traded sideways into the close.  Palladium didn’t do much.  Here are the charts. In round numbers, gold was down about $70 during the reporting month, however you’d never know that by the way the banks, both U.S. and foreign, reacted during that time. In gold, ‘4 or less’ U.S. banks that hold Comex contracts actually decreased their net long position by 11,039 contracts—and their net long position now sits at 14,565 contracts—and all of that decrease came from JPMorgan’s long position.  Ted mentioned in the COT Report above that JPMorgan has a net long-side corner in Comex gold of 43,000 contracts on its own, so that means that the other 3 U.S. banks must hold a combined net short position of about 28,500 Comex contracts to make the numbers in the BPR balance out.  As to why JPMorgan holds a long-side corner in the Comex gold market—and the other 3 U.S. bullion banks are massively short—is still a mystery to me, but that’s the way it’s been for about a year now. Also in gold, 21 non-U.S. banks also went shorter in gold during the reporting month, despite the price decline.  They increased their net short positions by a smallish 2,118 contracts—and their net short position now sits at 38,977 Comex contracts.  It’s my opinion that a decent chunk of that is also held by Canada’s Scotia Mocatta—at least a third, or around 13,000 contracts.  So the remaining 26,000-odd Comex contracts, once divided up between the other 20 non-U.S. bullion banks are, like in silver, basically immaterial. The gold stocks jumped a bit over 2% at the open—and then hung in there until shortly after 11 a.m. when the gold price got capped.  After that the stocks quietly sold down for the remainder of the day, but managed to close just off their low.  The HUI barely finished in positive territory, up 0.67%.  I’m sure that the sell-off in the general equity markets was a factor in the gold stock’s poor performance. The new situation that has arisen around Russia and the petrodollar could certainly develop into something, as a move away from the dollar in oil payments would certainly not be good news for the U.S. dollar—and we’ll have to wait and see how this develops. It’s getting harder to believe that the powers that be can keep the current economic and financial system afloat much longer in the face of what is happening in the world today.  As I said yesterday, if push really becomes shove, then it’s my opinion that Russia and China together could end the price management scheme in all four precious metals, but the side effects of that would be pretty enormous—and not all of them positive, at least not in the short term, as the upheaval would be felt world-wide. But one thing it would end is the fortunes of all the world’s rich commodity-producing countries that Chris Powell says “insist on being poor”—and that would change the economic, financial monetary situation in pretty short order.  You have to wonder whether Russia and/or China would chance it, but the fact of that matter is that the current financial order is on its last legs anyway—and it only remains to be seen whether these two countries will be proactive with this—rather than reactive. Time will tell, I suppose—but how much time is impossible to know.  So we wait. I’m done for the day—and the week. Enjoy what’s left of your weekend—and I’ll see you here on Tuesday. Silver has quite a ways to go before it gets anywhere near its 50 and 200-day moving averages—and it could take awhile if the powers that be continue to hold silver under the $20 spot price mark. “Da boyz” were a no-show at the release of the jobs number yesterday The gold price didn’t do a thing in Far East trading on their Friday—and as I stated in The Wrap section of yesterday’s column, volume up until the London open was lower than I could ever remember seeing it. But shortly after trading began in London, some positive price action got underway, with higher ticks at both the 12 noon BST silver fix—and again at the Comex open in New York.  The usual smash down at the release of the jobs numbers failed to materialize.  But the serious price rally that began when London closed at 11 a.m. EDT in New York, ran into the usual not-for-profit sellers within 15 minutes—and that was it for the remainder of the day. The CME Group reported the low and high price ticks as $1,284.40 and $1,307.50 in the June contract. Gold finished the trading day in New York at $1,302.30 spot, up $15.50 on the day.  Not surprisingly volume, net of April and May, was pretty decent at 156,000 contracts. Sponsor Advertisementlast_img

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