Auguries - November 30, 2012
Cui bono?
Kevin Michael Grace

Gold was down (at press time) $24.10 (-1.4%) for the week to $1,727.30, and silver was up $0.10 (+0.3%) to $34.31. GoldCore reports November 29 that gold fell $22.10 yesterday in a manner that raised not a few eyebrows. “The CME Group, which operates the US COMEX gold futures market, said Wednesday’s plunge in gold was not the consequence of a ‘fat finger’ or a human error.

“One thing that we can say for certain was that there was massive, concentrated selling as the New York stock markets opened with some 35,000 lots sold which is equivalent to 3.5 million ounces and saw the price fall from $1,735 per ounce to $1,711 per ounce between 0825 and 0830 EST. One sell order alone was believed to be 24 tonnes or 770,000 troy ounces. Incredibly, there was 35% daily volume in just 60 seconds. The selling, like all peculiar, counterintuitive, sharp selloffs in recent months, was COMEX driven with COMEX contracts slammed leading to further stop-loss selling.”

Read the rest of this article about gold prices here.