The Phaserl


Strong dollar undermines precious metals

by Alasdair Macleod, Finance and Economics:

Precious metals have had to endure a week of gathering dollar strength, which is at least partly the result of problems specific to the euro, yen and sterling. The result is gold has fallen a further $30 over the week, and silver by about $0.70c. The first chart is of gold and open interest on Comex.

Over the last two weeks the gold price has been falling while open interest has been rising: in other words paper gold has been flooding the market. This is illustrated in the second chart, of Managed Money short positions.

Last Tuesday’s position (not yet in this chart) will be released after-hours tonight, and I expect these shorts to rise to about 70,000 contracts. Given the action of the last few days I would expect this short interest to currently be at a new record. For the third time in a year, hedge funds and other fund managers are betting the ranch on a falling gold price.

Read More @

Help us spread the ANTIDOTE to corporate propaganda.

Please follow SGT Report on Twitter & help share the message.

1 comment to Strong dollar undermines precious metals

  • Strong Dollar ??? That’s like saying I’ve got the best looking horse at the glue factory ! Wasn’t the dollar at 1.20 a decade ago ? On the other hand I do agree they’re is very little downside at this point in the PM’s. Could TPTB push it lower…yes. Will that accelerate a default on COMEX and LBMA….yes….

Leave a Reply

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>