Great and Wonderful Friday Morning Folks,
The day after our Independence Celebration shows Gold to be trading at $1,416.20, down $4.70 after being forced down to $1,412.70 and with a high to beat so far at $1,426.80. Silver is doing the usual, following along as if it had no importance whatsoever with its trade at $15.265, down 7.1 cents with its low at $15.22 and the high to beat at $15.37. The US Dollar is still benefiting from all the overseas investors, maybe they like Trump as much as our population, regardless the Dollar continues higher at 96.54, up 20.54 points and close to the high at 96.575 with the low we need to see get crushed at 96.315. All of this was done way before 5 am pst, the Comex open, and the London close.
Our Emerging Markets Currency watch is showing 14,144.30 Venezuelan Bolivars are needed to buy 1 ounce of Gold, taking back 62.92 in Bolivar value with Silver at 152.459 losing .05 of a Bolivar. In Argentina, Gold requires 59,123.10 Pesos for 1 ounce, proving a loss of 842.46 Pesos with Silver at 637.279 Peso’s, as the lagging metal was sent, sharply lower losing 6.476 Pesos, both metals getting hit in OUCH type fashion. Turkey’s issuance, the Lira has Gold’s requirements at 7,940.63 with Silver now pegged at 85.5939 T-Lira, losing .4241 in T-Lira value.
July Silver Deliveries are now showing a demand count of 727 requests for physical and with a Volume of 10 up on the board so far this morning, in between a trading range between $15.25 and $15.175 with the last trade only showing 2 contracts being swapped out at the lowest price before the Comex open. This demand drop proves 15 obligations got their receipts and have come off the board since Wednesday’s early report. Silvers Overall Open Interest lost only 1,017 Overnighters with the total count now at 221,273 Obligations still proving the longs may have the upper hand against all these papered shorts.
Now that our Quadruple Witch Week, the 2nd quarter (of the year) closing, and our holiday week is out of the way, we can start to focus more on the Resolute Longs that have taken over and kept the Open Interest elevated ever since Trump won the vote. Sure it’s the same discussion as the overpowering shorts that control paper, but the big difference now is all price hits are being met with buying, and there is less and less Silver being extracted. Maybe the time has come to release the shorts from their afflictions, as the demands are outstripping inventory, at the same time Mother Nature has been handing out her own afflictions; abnormal weather in the farmlands, yesterday’s 6.6 Earthquake, which is close in proximity to the San Andreas Fault line, with additional warnings, that more is to come. Then we have the global view with several Volcanoes going off sending their plumes into the upper stratosphere causing more global cooling (not warming as the morons chanted), insurance issues abound, and that too is inflationary.
The Paper Open Interest, along with the physical demands, all meet at the Comex, and so does Mother Nature! One day the Algos will lose their control over the emotions of the markets. Then the emotions will take over, sending everything needed for humans to survive, much higher! So keep your precious metals close, hold on tight to the real, and as always …
PS, one more trade was done in the delivery month of July. That one purchase sent Cash Silver to $15.13 with September Silver’s price now at $15.11. I also now see a seller in July trying to sell 50 at $15.035. So this guy wants to sell cheaper, when I would be trying to sell at a higher price>>> Go Shorts! Right into that wall just ahead! JJ