Good Monday Morning Folks,
The precious metals are trading higher for a myriad of reasons with February Gold at $1,233.80, up $7.80 with a high at $1,237.50 and a low at $1,226.60. March Silver is leading the charge with its trade at $14.47, up 25.3 cents with the high to beat at $14.51 and a low at $14.28 all this done sometime before 5am pst. The US Dollar is down 22.1 points with its current value at 96.975 with the high at 97.085 and the low to beat at 96.64. Not bad after a weekend in Argentina where the G20 agreed to accept the fact that the EU is falling apart, but in turn they want to blame someone else for it. One of the topics I’m sure was address at the G20 was Venezuela’s collapsed currency and socialist experiments, and the new value for Silver and Gold in that country with Gold’s price now at 305,522,300, gaining 1,573,500 Bolivar over the weekend making this a 2,243,712% rally from January this year. Silver under the same conditions is now at 3,581,875 Bolivar gaining 37,286 over the same time period making this a 2,063,900% return from the beginning of the year as well.
The December Silver Open Interest is now at 2,251 demands for physical as the last of the speculators are most likely out of the trade with a volume of 191 on the board so far in the early morning. The overall Open Interest for AG remains elevated but continues to fall with the early morning NON-adjusted count at 184,700 dropping off 145 obligations before the official count was closed on Friday and before the update gets posted later today. Once again, with the onset of all computerized trading fully removing all pit trades, these numbers should be available for everyone to see the very moment they occur, including the COT numbers, why is this computerized data still being delayed and upgraded? After all, it’s been over 20 years since computers were brought to make trading easier.
As I glean over my trade station I see someone has stepped in again into the March Silver Options page and purchased another 171 of the March Silver $15.50 Calls spending over $1,000 on each one. Must be another stupid trader (unless?). Friday’s Open Interest in this strike price stood at 567 “rights to buy” adding more impetus to the thesis that these Call Options may be used to help offset the shorts that may have difficulty extracting themselves out of this market if the world gets more wonky.
Friday we mentioned the rioting Yellow Jackets in France with the very IRONIC hand shake of another Yellow Jacket in Argentina welcoming France’s “soon to be gone leader” Macron at the G20, and now we see that Germany has Yellow Jackets at the Hague. Many do not see this as I do, but this is a grass roots uprising we've mentioned in the over the years. The EU dictatorship is being challenged from the ground up and even Q brought this up yesterday when he said “Nothing can stop what is coming. Nothing. History books. Q”. Is this the end of the European Union and Currency? Sure looks like everyone (but the failing leaders) wants out before it the value goes to zero.
The riots in France continue and it has taken over the news services, but don’t let the medias “look Over here and Not there” tactic make you lose focus on what is going on in the USA with Hillary Clinton, James Comey, and the secret Clinton Foundation Leaker, in which all these hearings should have a spot light in front of the camera, sometime this week as well as Wednesday’s Market Holiday declared by our president in order to mourn the passing of another.
The world is awash with change, the currencies and uncollectable debt are the real issues, as we now see the people of the European nations going against those that made decisions against the wishes of their populations. The people of Germany and France are now adding their voices to those of the Northern Mediterranean Nations who never wanted this unilateral agreement, no matter how its sliced and diced and promoted by all things media. Is this the start of a major change in the precious metals pricings? Stay Tooned, and keep an eye on those precious metals storage facilities in Europe to see if the warning I gave about NOT keeping ones metals in a third party vault comes true. After all, Venezuela found out that Britain did exactly that only a few weeks ago. Keep a positive attitude no matter what, cause you’re going to need it …
Stay Strong!
J. Johnson