NEW YORK ( TheStreet) -- It was an active day in early morning trading in London on Wednesday, even if there wasn't a lot of volume associated with it. The two price spikes, one at 8:30 a.m. GMT and the other at 10 a.m. GMT, are the two most noticeable features on the Kitco chart below. After those two rallies were capped, the gold price chopped sideways in a very tight five dollar range for the remainder of the Wednesday trading session.
The CME reported the December low and high ticks at $1,308.90 and $1,322.00. The scale of the chart makes the price moves look more impressive than they actually were.
Gold close in New York yesterday afternoon at $1,317.60 spot, up $5.70 from Tuesday. Volume, net of roll-overs, was 78,000 contracts, which was the same as the volume on Tuesday, very light.Of course the price "action" in silver really looks impressive on the chart below, and it should be obvious to all except the willfully blind that the silver price would have closed materially higher if a seller of last resort hadn't shown up at 9 and 11 a.m. GMT in London trading yesterday morning. But by the time they were through, the silver price was safely back below the $22 spot price mark once again. According to the CME, silver's low and high for December were $21.62 and $22.075. Silver finished the Wednesday trading session at $21.805 spot, up 9.5 cents from Tuesday. It could just have easily closed up nine and half bucks if it hadn't been for the obvious presence of not-for-profit sellers. Platinum and palladium had decent up days, as platinum finished up a percent, and palladium was up 2%. Here are the charts. The dollar index closed late Tuesday afternoon in New York at 80.68, and when it opened in Far East trading on their Wednesday morning, it traded sideways until 10 a.m. Hong Kong time. By half past lunchtime over there, the index had fallen down to 80.50. The smallish counter-rally didn't get far, and the index continued to chop lower from there. The low tick [80.395] came shortly after 10 a.m. in New York, and from that point the index crawled higher into the close. The dollar index ended the Wednesday session at 80.50, which was down 18 basis points on the day. The stocks gapped up about a percent and a half at the open, and then traded sideways into the close. The HUI finished up 1.33%. It was pretty much the same story in silver, as Nick Laird's Intraday Silver Sentiment Index closed up 1.18%. The CME's Daily Delivery Report on Wednesday, like every other report so far in the November delivery month, has been a yawner. It showed that zero gold and 12 silver contracts were posted for delivery within the Comex-approved depositories on Friday. The link to that activity is here. There were no reported changes in GLD, and as of 8:59 p.m. EST, there were no reported changes in SLV, either. The good folks over at Switzerland's Zürcher Kantonalbank updated their gold and silver ETFs as of the end of trading last Friday, November 1. There were declines in both ETFs during the reporting week. Their gold ETF shed 69,792 troy ounces, and their SLV declined by 180,269 troy ounces. The U.S. Mint had no sales report yesterday. For a change there was some activity in gold over at the Comex-approved depositories on Tuesday. They reported receiving 96 ounces of the stuff, and shipped 17,891 troy ounces out the door. The link to that activity is here. But it was another off-the-charts day for silver in these same depositories on Tuesday, as 618,553 troy ounces were reported received, and a very chunky 1,001,095 troy ounces were shipped out the door. Virtually all of the activity was at Scotia Mocatta or Brink's, Inc. The link to that action is here. The last of the government shut-down delayed Commitment of Traders Report [for positions held at the close of trading on Tuesday, October 29] was issued at 3:30 p.m. EST yesterday and, as expected, it showed an increase in the Commercial net short positions in both silver and gold. In silver, the Commercial net short position increased by 1,251 contracts, which translates into 6.26 million ounces. Ted Butler said that almost all of the increase was caused by the small Commercial traders other than the 'Big 8' selling long positions. JPMorgan bought a few hundred long contracts, so Ted figures their short position is something less than 18,000 contracts; maybe 17,500. The Commercial net short position in silver now stands at 130.7 million ounce, so JPM is short about 87.5 million ounces of that amount. The Commercial short position in gold blew out by a surprisingly large 24,639 contracts, or 2.46 million ounces, as the technical funds/managed money went long and/or covered short positions. Of course the Commercial traders did the opposite. Ted said that most of the changes occurred amongst the Commercial traders themselves, and that JPMorgan's long-side corner barely changed at all during that reporting week. The Commercial net short position in gold up until the October 29 cut-off now sits at 10.68 million ounces. Tomorrow we get the COT Report for position held at the close of trading on Tuesday, November 5, and it should show a big improvement in the Commercial net short positions in both metals, as the numbers associated with the engineered price declines that began last Wednesday after the FOMC meeting will be all present and accounted for at that time. I have about twenty stories for you today, and I hope you have time to read the ones that interest you.