Loading ...… based on COT related considerations … with the month set to come in with an all-time physical demand record.
The comex gold sell off is all paper driven as the record physical buy continues
What’s more … open interest (OI) report spoofing should not accomplish any lasting weakness with Comex increasingly becoming a cash delivery market … case in point today’s preliminary number was reported as an OI gain of more than 11,000 contracts … but in checking the final numbers now we can see in the attached above a decline of 44 contracts … they are hoping to deter buyers with the appearance on an expanding OI.
And as for silver … with October being an off month (non-delivery) … with deliveries set to exceed 40 million ounces not including exchange for physicals (giving London a bigger problem) … and as evidenced in still high spreads and lease rates … it would not be surprising to see a bid come back into the market once December arrives … a delivery month.
Silver Futures Volume & Open Interest – CME Group
Every day … drip drip drip … physical silver is leaving both Comex and London vaults.
Drip drip drip could turn into a torrent in December if buyers decide they want to top up their holdings before year end.
It’s just a matter of when not if investor participation starts to drift higher again towards more normal historical levels.
Cheers all