by Alasdair MacLeod
While gold recovered some lost ground this week, silver went nowhere. From last Friday’s close, gold rose by $9 to trade at $1473 in early morning European trade today, while silver lost 15 cents at $16.88. Comex volume in both metals was subdued.
[…] At this time of year, the trading situation on Comex has been positive for the gold price since 2015. Bearing in mind the bullion banks want to mark-to-market their short positions in a favourable light, they encourage the gold price to go lower in the second half or the year to achieve it. The last active contract, December, expires on the last day of November, which presents an opportunity to shake out the speculators. This reduces their short positions and reduces the gold price.