German exports fall/Rumours of French downgrade/Huge gold imports into China/ ECB deposits of Euros at record levels again.

Wednesday, January 11, 2012


Good evening Ladies and Gentlemen:

Gold closed up by $8.20 to 1639.20. Silver rose by 8 cents to $29.86. Since the gold shares have languished all day today, it is almost a certainty and the bankers will raid tomorrow. I urge you to please to do play with these crooks. There are many facilities available to buy the physical precious metals. The leverage business is now out so the only way you will win is to buy physical gold and silver and be thankful that you paid below the real price of these metals.

Before heading over the comex, the rumours of the street was an imminent French downgrading of their coveted AAA rating:

(courtesy GATA)


"Major banks advising clients that France has been put on 12hr notice regarding its AAA rating"
09:49 French Treasury source says France has not been informed of any imminent decision regarding its credit rating -- Reuters
* There have been rumors, again, that a sovereign rating downgrade for France is coming and today's version of the rumor indicated France had been given 12 hours notice
* €/$ 1.2700

Let us head over to the comex and assess trading, inventory movements and amounts of metal standing for delivery.

The total gold comex rose by 3879 contracts as gold rose by almost $24.00 yesterday. The bankers no doubt supplied much of the paper gold. The front options expiry month of January mysteriously saw its OI rise from 16 to 30 for a gain of 14 contracts despite one delivery notice yesterday. Thus we gained 15 contracts or 1500 oz of gold standing. The next big delivery month is February and here the OI fell from 203,070 to 193,494 as those that needed to roll, did so. The estimated volume today was very low at 125,399. The confirmed volume yesterday was pretty good at 205,864.

The total silver comex OI continues in its narrow channel path. Today the OI rests at 104,345 a drop of exactly 400 contracts from yesterday. The front options expiry month of silver also saw its OI rise from 57 to 83 for a gain of 26 contracts despite a delivery of 42 contracts yesterday. We thus had a huge 68 contract increase in additional silver standing or 340,000 oz. The next big delivery month is March and here the OI fell by around 500 contracts to 56,387. The estimated volume today was a touch higher than normal at 37,257. The confirmed volume yesterday came in at 43,989. The volumes in the silver comex have been noticeably weaker these past several weeks.