Great and Wonderful FOMC Day Folks,
Gold is trading lower this morning with the current price at $1,345.90, down $4.80 after a few hours of pump and dump were applied once the market reopened with the high at $1,351.10 with the low close to where we are now at $1,344.80. Silver is leading the decline with the trade at $14.905, off by 8.8 cents and at the low with the high at $15.015. With the currency rollover being completed, September US Dollar is now at 97.055, it too trading down 9.8 points with the low at 97.045 and the high at 97.205. All this of course was done way before 5 am pst, the Comex open, and the London close.
The volatility is rising as the So American emerging markets will prove, with Gold under the Venezuelan Bolivar now at 13,442.18, showing a loss of 77.90 Bolivar with Silver at 148.864 showing a reduction of .349 Bolivar. Argentina’s Peso now has Gold priced at 58,539.61 chopping off some 993.31 Peso’s with Silver doing the same with its price now at 648.370 proving a loss of 8.647 A-Pesos. Over in the Euro-mess, Turkey’s Lira now has Gold trading at 7,880.70, losing only 19.3 in T-Lira value with Silver at 87.2979, losing .1016 (barely registering).
The June Silver Delivery demands is where it all matters with the total count posting 239 receipts waiting for physical, showing a loss of 1 from the previous day and with Zero Volume up on the board so far this morning. In fact, so far this week, we still do not have a “price traded” in the deliverable Silver month with today being all about the J. Powell FOMC “play of the day”. When it comes to the Overall Open Interest in Silver, the centrals are exposing themselves even more as the count needed another 6,700 more short positions in order to keep Silver just under that $15 handle with the total now at 238,985 Overnighters, proving we are just about at the point of contention as the Resolute Longs keep things real against the overwhelmingly large paper trade that will fail when the last bar is delivered. Still to date, the only question left is when is that last bar going to trade? We only need another Open Interest gain like yesterday to exceed the old paper count against the physical to break new ground. One day, the paper will fail, and we’re getting closer to that moment as the Resolute Longs, Carry on!
So far the reversal in interest rates has been brought forward as the markets have already dictated what the Fed should be doing since Trump made the announcement in Dec 2018, when he said he was going to have Mnuchin talk to the Working Group on Financial Markets totally exposing the clandestine group for all the see as we wait for the chairman to do exactly what his boss told him to do. The markets have made their point and the Fed is dragging the cut a long as possible. With rates being about 8/10ths of a percent cheaper (at the Fed Window) in Dec 2020 than right now, there is no point in borrowing till after the cut, which in turn, has slowed quite a bit of borrowing lately that includes a hefty amount of home mortgages and car loans.
Here we sit, comfortably with our precious metals positions, waiting for the papers to catch fire and totally exposing the frauds the shorts have created all these years. Sure the “shorts” could win again, but each time they do, more and more paper has to be applied in order to control the few last bars they control. So keep the faith, have a positive attitude no matter what, and as always …