Gold getting KILLED!!!!

[medved]

Re: Gold getting KILLED!!!!!

The question I have now is when to buy back in; is the price low enough yet?

1. Gold is only about 5% below its long-term exponential trendline. I would not bother, it is not cheap enough.

2. Many commodities-related companies (including gold miners) are up when the general markets are down and gold/silver are hardly moving - this looks like successful short covering. The shorts again fleeced the gold and commodities bugs, but not by much. I am not buying. If it hits about $1050 or better within a month, I would buy.

[metalman]

Re: Gold getting KILLED!!!!!

1. Gold is only about 5% below its long-term exponential trendline. I would not bother, it is not cheap enough.

2. Many commodities-related companies (including gold miners) are up when the general markets are down and gold/silver are hardly moving - this looks like successful short covering. The shorts again fleeced the gold and commodities bugs, but not by much. I am not buying. If it hits about $1050 or better within a month, I would buy.

i'm waiting for 1050 too. if the administration announces a depression strategy i'll wait for $900 before it's nixed.

gold... for 9 yrs here...

[Jay]

Re: Gold getting KILLED!!!!!

i'm waiting for 1050 too. if the administration announces a depression strategy i'll wait for $900 before it's nixed.

gold... for 9 yrs here...

Who cares, it will be 1600 before 600. Great vid.

[LargoWinch]

Re: Gold getting KILLED!!!!!

i'm waiting for 1050 too. if the administration announces a depression strategy i'll wait for $900 before it's nixed.

gold... for 9 yrs here...

MM: the .gif (huh bitmap...whatever) machine!

[ThePythonicCow]

Re: Gold getting KILLED!!!!!

Gold down $40/oz (1374 to 1332), major indices (SP500, Industrials, Nasdaq) gapped down on the open and are now down 1.5% to 2%.

Two days ago I sold some gold; I just went short the SP500.

[thriftyandboringinohio]

Re: Gold getting KILLED!!!!!

Gold down $40/oz (1374 to 1332), major indices (SP500, Industrials, Nasdaq) gapped down on the open and are now down 1.5% to 2%.

Two days ago I sold some gold; I just went short the SP500.

Everything getting killed today. Odd.

[ThePythonicCow]

Re: Gold getting KILLED!!!!!

Everything getting killed today. Odd.

For a clue, see Mega's thread Did China just blink?. China just raised their benchmark lending and deposit rates for the first time in three years.

[sishya]

Re: Gold getting KILLED!!!!!

If I were you, I will not short S&P. we are in tricky times. I would wait till Jan 2011.

[medved]

Re: Gold getting KILLED!!!!!

For a clue, see Mega's thread Did China just blink?. China just raised their benchmark lending and deposit rates for the first time in three years.

Besides, if I am not mistaken, they have some capital controls. So, nobody can sell $US and buy yuan. $US will not drop. On the opposite, there will be deleveraging and $US buying. Hopefully it will drop gold to about $1150, so I can by back my PM stocks and covered calls.

[LargoWinch]

Re: Gold getting KILLED!!!!!

Everything getting killed today. Odd.

Oil especially; down more than 4%:

Crude Oil
80.12
-3.68 -4.40%

[charliebrown]

Re: Gold getting KILLED!!!!!

cool, picked up some bpt, erf, mvo today at prices I have not seen for a few months.
not time to back up the tank truck yet.

Picked up a little GTU too.

It's the anti-dollar trade. Dollar down everything up, Dollar up everything down.
I'd like to pick up some CHF, but too high still.

I'm not shorting anything either my timing sucks.

Is Nov 3 the day to short? IYR looks like a target.

Suppose the republicans run the table, on Nov 2nd. Health care stocks up because they fight tooth and nail to derail obama care. Will whoever is running the press, shut if off for a few days?

[mooncliff]

Re: Gold getting KILLED!!!!!

http://washpost.bloomberg.com/story?...PC4BKK488Q9GLD

Silver Exports From China May Slump by 40% This Year

Bloomberg NewsOct 19, 2010 3:01 am ET
(Adds China’s silver output eighth paragraph.)

Oct. 19 (Bloomberg) -- Silver exports from China, the world’s largest, may drop about 40 percent this year as domestic demand from industry and investors climbs, according to Beijing Antaike Information Development Co.

Shipments may decline from about 3,500 metric tons in 2009, said Feng Juncong, chief analyst at the state-owned Antaike, without providing a specific forecast. Customs data show exports plunged almost 60 percent to 970 tons in the first eight months. Cancellation of an export rebate in 2008 is also hurting shipments, she said.

Reduced exports may bolster prices that are trading near a 30-year high on speculation that governments worldwide will take further steps to stimulate their economies, weakening currencies and increasing demand for assets that are a store of value. China, the third-largest producer after Peru and Mexico, revoked export rebates in August 2008 to curb use of natural resources.

“There is huge demand in China this year and that has affected exports, which were already hurt after the tax rebate was abolished,” said Ng Cheng Thye, head of bullion at Standard Bank Asia. “The demand is coming from all areas, including jewelry, investment and fabrication and this has resulted in a physical market shortage in the Far East.”

The metal for immediate delivery touched $24.92 an ounce on Oct. 14, the highest price since September 1980, and traded at $24.2750 at 2:28 p.m. in Singapore. Industrial applications for silver, including electrical conductors and batteries, represent about half global demand.

Silver Rally

“China may sharply reduce its silver exports this year following the scrapping of the rebate and as domestic demand picked up amid expectations for higher inflation,” Feng said. This year’s 5,100-ton quota is unlikely to be fully used, she said.

Silver has rallied 44 percent this year, outperforming gold and copper. In the short term, prices will be between $20.50 and $25.50, GFMS Chairman Philip Klapwijk said on Oct. 16. “Silver is likely nearing a top now, and that it has more downside in the short term than upside,” he said. “But we remain bullish in the long term.”

China’s silver production, including mined, by-product output and recycled material, grew by an average 14.9 percent every year in the 20 years since 1990 to 10,348 tons in 2009, Feng said. Growth was mainly because of the fast-growing production of lead, zinc and copper, which generates silver as a by-product, Feng said.

Output Drops

The country’s silver output dropped 1.9 percent in the first eight months to 7,445 tons, she said. About 60 percent of China’s silver mined output is in the form of by-product of base metals, according to Antaike estimates.

An expected drop in lead and zinc concentrate supplies will affect domestic smelter production, weighing on China’s silver output growth, she added.

“There are Chinese investors now hoarding silver, along with other resources, amid anticipation of higher inflation,” Feng said. “China is short of resources so these investors believe the metals will be more valuable in the future.”

--Feiwen Rong. With reporting by Glenys Sim in Singapore and Xiao Yu in Xiamen. Editors: Richard Dobson, Jake Lloyd-Smith.

[ThePythonicCow]

Re: Gold getting KILLED!!!!!

we are in tricky times

That's for sure.

[think365]

Re: Gold getting KILLED!!!!!

GLD has been liquidating on a daily basis since Sept 28th, selling off a total of 5.599 tonnes over the last 21 consecutive days. Since the peak on June 29th, GLD has sold off a total of 20.347 tonnes (net).


SPDR Gold Trust holdings fall 0.911 tonnes
October 19, 2010 20:25 ET
Thomson Reuters News SPDR Gold Shares GLD


SINGAPORE, Oct 20 (Reuters) - The world's largest gold-backed exchange-traded fund, SPDR Gold Trust said its holdings declined to 1,300.089 tonnes by Oct 19 from 1,301.000 tonnes on Oct 18. The holdings hit a record at 1,320.436 tonnes on June 29.

Following are changes in SPDR holdings:

Oct 19 1,300.089
Oct 18 1,301.000
Oct 15 1,301.912
Oct 14 1,304.342
Oct 13 1,285.200
Oct 11 1,287.327
Oct 8 1,288.238
Oct 7 1,288.542
Oct 4 1,301.913
Oct 1 1,302.345
Sept 30 1,304.776
Sept 28 1,305.688
Sept 24 1,300.521
Sept 23 1,301.433
Sept 21 1,304.168
Sept 20 1,304.472
Sept 17 1,300.825
Sept 15 1,294.746
Sept 14 1,298.698
Sept 13 1,292.619
Sept 10 1,293.531
Sept 3 1,294.442
Sept 2 1,294.908
Sept 1 1,304.028
Aug 31 1,302.508
Aug 27 1,298.556
Aug 24 1,297.948

[thriftyandboringinohio]

Re: Gold getting KILLED!!!!!

Fascinating post, thanks for the data think365.

I'm in a conspiracy-minded mood tonight.
Perhaps the powers-that-be have come to control the GLD fund, and so control 1300 tons of gold within GLD, bought with joe 6 pack's money, and are redirecting the fund as a weapon to crush the price of gold by selling it 100 tons at a shot.

As the price plummets, people sell GLD shares justifying even further sales of gold from GLD; lather-rinse-repeat until all 1300 tons are sold at a steep loss to drive down price.

Poor J6P looses again and fiat wins; gold price is crushed and it's reputation as an investment is destroyed; and it cost the State and the oligarchy nothing.

I think it's a great conspiracy theory, even though I plucked it out of thin air just now.