Supply & Demand

Trading volume on Wednesday was 861,275 contracts - the highest in CME Gold history.      

Over 85,000 gold futures contracts (over $10 billion) just traded as gold plunged from $1260 to $1230 as US equity markets opened

So much for breaking out - that was very short lived. That is now the fifth attempt to break the long term resistance that was met with failure. With the USD & Bond Yields heading higher there will be pressure on gold to head lower.        

This chart explains gold rise and fall  

Egypt has devalued its currency by 48% and announced that it will be allowed to float – measures that meet a key demand by the International Monetary Fund in order to secure a $12bn (£9.6bn) loan over three years to overhaul its ailing economy. The devaluation pegged the Egyptian pound at 13 to...

Shanghai Gold Exchange and Dubai Gold and Commodities Exchange signed an agreement on Friday in Shanghai which makes the DGCX the first foreign exchange to use the SGE's renminbi-denominated gold benchmark.

We can’t help but see also the beginning of a flight away from the currencies. And, besides, those countries (China, Middle-East countries) are indeed big buyers of gold, whether through their people or their central banks.

2016 is shaping up as the year when countless conspiracy theories will be confirmed to be non-conspiracy fact: from central bank rigging of capital markets, to political rigging of elections, to media rigging of public sentiment, and now, commercial bank rigging of silver.

The selling of gold we saw last week was another desperate attack by the BIS and some central banks, together with the bullion banks, to manipulate the gold market lower.

The SDR is just a step in the long strategy of China to eliminate the dollar’s “exorbitant privilege” and that gold will play a major role at the negotiating table