I would say a 353% YOY increase in Chinese silver trading might be a tad worrisome for NY.

Regards - VHF

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Shanghai Gold Exchange trades 6051 tons of gold in 2010

May 30, 2011

SHANGHAI (Commodity Online) : Trade volumes in spot and forward markets in China’s largest gold bourse ,the Shanghai Gold Exchange (SGE) surged, thanks to country’s investment frenzy in the metal.

According to Wang Zhe, SGE president, total gold traded on the exchange rose 28.5 percent from a year ago to 6,051.5 tons in 2010, while the total turnover jumped 57 percent.

The trading volume for silver was 73,615 tons in 2010, a meteoric 353 percent rise from a year ago.

The SGE, China's only specialized precious metals exchange, started a trial of over-the-counter trading in April and is studying ways of establishing a platform to provide open gold lease rates in China.

Earlier, China National Gold Group said country’s move to consolidate the gold-mining sector, improve technology and encourage exploration at depths exceeding 1,000 metres would combine to boost underground reserves and output.

China's gold output in the first three months of 2011 totaled 73.4 tons, up 4.6 pct from the same period in 2010, the Ministry of Industry and Information Technology said