After a 3 week hiatus, the FDIC decided to best to place two banks into the morgue:
|Western National Bank||Phoenix||AZ||57917|
|Premier Community Bank of the Emerald Coast||Crestview||FL||58343|
Friday saw the stock market initially rally into triple digit gains by the Dow but as the day wore on, selling commenced and finally the Dow ended in negative territory. Gold started strong but fell during the early comex hours but gained strength as the day wore on, finishing the session at $1595.60 up $21.20. Silver also had a good day finishing the comex session at $29.62
In the access market here are the final closing prices for these two metals;
Let us head over to the comex and see how trading fared with respect to open interests, delivery notices and finally inventory movements.
The total gold comex open interest fell by 5144 contracts to 430,854. We had very minor spec liquidation. The fun begins with the front delivery month of December. Here the OI fell from 2327 contracts to 981 contracts for a loss of 1346 contracts. We had a huge 1823 delivery notices on Thursday so we gained more gold ounces standing for delivery and lost nothing to cash settlements. The next big delivery month is February and here the OI fell from 261,629 contracts to 257,634 as it was here that had the major contraction in open interest. The estimated volume on Friday was very tame at 139,217. The confirmed volume on Thursday was much higher at 199,508 due to the raid and mega high frequency trading.
The total silver comex OI rose by 884 contracts despite the raid on Thursday. As I pointed out to you on numerous occasions it is becoming more difficult for the bankers to get the silver leaves to fall from the silver tree. They just are not biting. The next delivery month is March and here the OI rose from 57,037 to 58,059
as our longs remain resolute in their conviction and refuse to play along with the bankers. The estimated volume was extremely low at 30,084 as the bankers refused to supply the needed paper having been exhausted during the week with heavy activity and nothing to show for their "hard" work. The confirmed volume on Thursday was a little better on Thursday at 47,798.
Inventory Movements and Delivery Notices for Gold: Dec. 17 2011:
Withdrawals from Dealers Inventory in oz
Withdrawals from Customer Inventory in oz
Deposits to the Dealer Inventory in oz
Deposits to the Customer Inventory, in oz
No of oz served (contracts) today
No of oz to be served (notices)
349 (34,900 oz)
Total monthly oz gold served (contracts) so far this month
Total accumulative withdrawal of gold from the Dealers inventory this month
Total accumulative withdrawal of gold from the Customer inventory this month
Now for the fun part. Despite this being a record delivery month we still do not see any gold
enter as a deposit to the dealer and also no gold was withdrawn from the dealer.
We had another of our perfectly round 64,300 oz of paper gold which is exactly 2.00000 tonnes of gold enter as deposit to the customer and the vault: you guessed correctly our banking nemesis: JPMorgan.
Whenever you see a perfectly round deposit you know something is fishy. It seems that Brinks no longer wishes to be part of this as they have handed the scheme to other vaults.
We had the following customer withdrawal:
1. HSBC: 95 oz
2. JPM: 101 oz
3. Manfra: 482 oz
4. Scotia: 10,018 oz
total customer withdrawal: 10,969 oz.
We had two adjustments:
First with HSBC: A total of 30,982 oz was taken from the dealer HSBC back to the customer at HSBC
in a repayment of prior liability. It could also be a seller no longer wished to sell his gold and placed it back into the eligible or not for sale category.
Second: We had 401 oz at Scotia where the customer leased gold to the dealer at Scotia. It could be that a customer wished to sell his gold and moved the gold to the registered or for sale category.
The total registered gold inventory rests tonight at 3.011 million oz or 93.65 tonnes of gold.
The CME notified us that we had another stellar delivery day. Friday saw 632 delivery notices served for 63200 oz of gold. The total number of gold notices filed so far this month total 21,172 for 2,117,200 oz
To obtain what is left to be served upon, I take the OI standing for December (981) and subtract out Friday's deliveries (632) which leaves us with 349 or 34900 oz left to be served upon.
Thus the total number of gold oz standing in this delivery month is as follows: (and a record)_
2,117,200 oz (served) + 34,900 oz (to be served upon) = 2,152,100 oz or 66.93 tonnes of gold.
If we add in the November gold standing 1.77 tonnes (November is a non delivery month) we have 68.7 tonnes of gold standing. This represents 68.70 divided by 93.65 tonnes or 73.3% of all registered or dealer gold (for sale).
And no gold enters the dealer. If the data is fabricated why point out huge delivery notices?
And now for silver
Again a lot of activity inside the comex silver vaults. We again got a noticeable dealer silver deposit
of 592,718 and the dealer was Brinks. The dealer did not have a silver withdrawal.
The customer had the following silver deposit:
1. Into Brinks, 4203 oz
2. Into Delaware: 985 oz
3. Into Scotia: 268,114 oz
total deposit by the customer; 273,302. oz
We had the following customer withdrawal: 36,444 oz.
We had 3 adjustments:
1. 10,321 oz of silver removed from the dealer Brinks and back to the customer at Brinks
2. 59,382 oz of silver removed from the dealer Delaware and back to the customer at Delaware.
3. 10,250 oz of silver taken from the customer and placed to the dealer. This is usually a lease arrangement.
The total registered silver has now reached 34.08 million oz
The total of all silver is now 111.97 million oz.
Yet very little delivery notices and many cash settlements.
It seems that most of the silver in the registered category is paper silver.
The CME notified us that we had 9 delivery notices filed for 45,000 oz. The total number of notices filed so far this month total 822 for 4,110,000 oz. To obtain what is left to be served upon, I take the OI standing for December at 250 and subtract out Friday deliveries at (9) which leaves us with 241 notices or 1,205,000 oz.
Thus the total number of silver oz standing in this delivery month is as follows:
4,110,000 (oz served) + 1,205,000 (to be served) = 5,315,000
we lost 13 contracts or 65,000 oz to cash settlements.