"Trading volume on the most popular gold forward contract hit a three-month high of 26,032 grams on Aug. 11, and eased to just shy of 20,000 grams on Tuesday as the exchange finished the afternoon session. The average volume so far this month stood at 14,999 grams, compared to a daily average of 9,138 grams in 2010."

Sorry Mike but it just doesn't add up. I'm a dork when it comes to futures trading (actually most of the time according to my better half) but I don't see any link of today's PM thrashing to margin increases in Shanghai. Their volumes are inconsequential and pale in comparison with quantities of Gold futures traded on mature exchanges. In terms of market timing the best part of downward thrusting manipulation occurred witin the NYMEX and Globex (aka CRIMEX) trading hours. Asian markets tend to rise on followthrough trading and this evening is no exception despite the margin increase as both PMs are recovering well. I'd have to wager today's thrashing had nothing to do with Asian influences - just the usual North-American paper-based Cartel cr*pola ahead of options expiry. Wouldn't be surprised a bit to hear in the near future that several large, well-timed shorts were placed at key junctures, with volumes approaching several months worth of real-life production traded in a flash - poof.