Great and Wonderful Monday Morning Folks,
The only way the bankers can keep precious metals cheaper is by adding more paper to the game instead of the product with Gold now trading at $1,457.00 down $11.50 and right by that London low of $1,456.60 with the high at $1,470.20. Silver is equal in that there is far more paper to trade than product to deliver with the trade at $16.76 down 18.8 cents with the low, right in the London, at $16.705 and a high to beat at $16.970. The created trade against precious metals called fiat always has a leader in print. At present, it’s called the US Dollar and its trade is also weakened but barely with the current value at 97.825, down 4.6 points after being dipped to 97.74 with the high near by at 97.87. All of this paper trading occurred before 5 am pst, the Comex open, and the London close.
Since the Dollar is the primary currency, that has tons of debt instruments with tons more of print to sell against everything physical, it’s influence abroad has kept things static and unwavering in all physical things including precious metals (for now) with the Venezuelan Bolivar pricing Gold at 14,551.79 Bolivar, taking back 79.90 with Silver now at 167.391 losing only 0.549 of a Bolivar. In Argentina, Gold is now priced at 86,795.18 Peso’s showing a loss of 528.06 with Silver now at 998.708 proving another drop of 35.52 in A Peso value, which we consider temporarily removed. In Turkey, Gold is now priced at 8,342.86, as another 76.80 is taken away with Silver now offered at 95.9647 taking a 0.6853 T-Lira hit.
The November Silver Deliveries have nothing to offer so far this morning with the Open Interest in the November contract is stuck at 6 fully paid for demands for physical with no Volume to offer so far today, but that sure doesn’t stop the bracketed prices from triggering nothing on my screen. Still our question, why are these spoofing prices still showing up when they are supposed to be illegal, or if they are valid and legal in something, where is the final math equation to settle? The Delivery Months OI number does prove a reduction of 3 in the demand count from Friday as we wait for the buyer(s) to step in again as I still wonder why the sellers of physical NEVER take the higher bids when offered? Is that not what a seller is supposed to do?
Silver’s Overall Open Interest gained 288 more pieces of paper from Friday mornings quote to todays with the total now at 221,754 Overnighters willing to trade the papers. Of interest is the amount of drop in Silvers Red contract (December) which is now at 98,887 Open Interest. Bare in mind next Monday, Silvers Red options come off the table as the Open Interest on the Options Board continues to grow. Those that trade the futures contracts will have to exit the trade or be set to take delivery next Tuesday, so the OI should drop more quickly during this week.
We are at the closing time period in our 4+ years study in the Silver Options, which occurred when Trump was legally elected by the majority of voters in 2016, also of note was the very first Brexit Exit vote their elected officials still can’t get over. Since that time till now, we have continued to report this anomaly and that anomaly is about to go away! The Open Interest in the December 2019 Call Options is still the highest in count since “just before” 2016 and all the way out to December 2024. Red (the closest December to expire) has a Call Options Total count at 86,701, proving a 299 Call Options count drop overall, yet inside and below Red Silver’s $18 Strike, the Open Interest gained 509 more purchases that are due to expire next Monday. This brings the total count at and below the $18 Call Option Strike price to 21,524. Once again, we do not have a clue as to the purpose of this long-term insurance policy, but someone or entity thought it wise to risk up to $100 million dollars 4 years ago and now we’re about to see what it’s all about.
January Silvers Call Options Count also increased with the Overall Total at 14,816 proving an overall increase of 1,332. 910 out of those purchased Call options where bought at and below $18, bringing that part of the total to 3,525 purchased Calls. February Silver’s Overall Call Options count gained 333 bringing that month’s total to 6,009 with 1,411 of these being at and below the $18 Call Strike, proving an increase of 77. March Silvers Call Options count also increased to 20,320 Overall with 188 more being added at and below $18 Strike bringing its total to 6,322. Someone’s still buying and spending at the same time more paper is being added to the game.
A lot has happened since the end of trade last week. Many are still noodling about the newly added forms of paper that were added without fanfare to Gold. We’ll stay focused on Silver because it is the money of the people and is still very much controlled by a Criminal Element doing “some other god’s” work because our worlds populations was raised on a solid currency, made with physicals, which is totally untrue in today’s currency world. So, hang on tight to the real, as we wait one more week to see what this anomaly is all about. Keep a smile on your face and a positive attitude in the head no matter what, and as always …
Stay Strong!
J. Johnson