NEW YORK ( TheStreet) -- No sooner I had I hit the send button on yesterday's column when the selling pressure showed up in London. The low of the day for gold came around 3:30 p.m. in electronic trading in New York, and the price traded sideways from there.
The CME recorded the high and low ticks as $1,254.80 and $1,235.50 in the December and February contracts.
Gold finished the Wednesday trading session at $1,238.00 spot, down an even $4.00 from Tuesday. Net volume, once December was subtracted out, was very decent at 163,000 contracts.The top of the rally in silver that began shortly after the London open, ended a few hours later at 11 a.m. GMT. Most of the subsequent price decline was done by 12:30 p.m. in New York, and the rally that followed wasn't allowed to get far. The absolute low came a few minutes before the 5:15 p.m. EST electronic close. The high and low ticks in the December month were reported by the CME as $20.08 and $19.585. Silver closed on Wednesday at $19.665 spot, down 15 cents, and safely back under the $20 spot price for the second day in a row. And also for the second day in a row, platinum got sold down for a loss. Yesterday's sell off began shortly after 11 a.m. Zurich time, and most of the engineered price decline was done shortly before the Comex close. This was another new low for platinum in this move down. Palladium rallied a bit in overnight trading, but obviously ran into a price ceiling in Zurich trading before it, too, succumbed to selling. Palladium closed lower for the last two days, but only by a dollar or so each day. Here are the charts. The dollar index closed in New York on Tuesday at 80.75, but began chopping lower as soon as Far East trading began on their Wednesday. The index got as low as 80.50, but at precisely 9 a.m. EST a rally developed that took it back to almost unchanged on the day, as it closed at 80.73 on Wednesday, down a couple of basis points. The gold stocks spiked up over a percent at the open, but then got sold down to almost unchanged by 10:30 a.m. in New York. After that they chopped sideways for the remainder of the trading session. The HUI finished up 0.79%. It was pretty much the same story with the silver stocks, but they got sold down into negative territory by 10:30 a.m. EST, but recovered to close in the black by day's end. Nick Laird's Intraday Silver Sentiment Index closed up 0.40%. The CME Daily Delivery Report yesterday for the last day of November drew a blank, as there was no data to report; so the November delivery month was obviously done as of Tuesday. The First Day Notice numbers for delivery into the December contract were a bit of a surprise, as only 68 gold and 786 silver contracts were posted for delivery on Monday. In gold, the short/issuers were RCG with 40 contracts, and R.J. O'Brien with 24 contracts. JPMorgan stopped 45 contracts in its in-house [proprietary] trading account and another 5 for its client account. I expect the next few days will bring much more delivery action in gold, and it will be interesting to see who the issuers and stoppers are. But if I had to guess, it would be "all the usual suspects." In silver, it was Canada's Bank of Nova Scotia, Jefferies, and in distant third, Barclays as the biggest short/issuers; with 393, 326 and 46 contracts respectively. Of course the tallest hog at the trough as long/stopper was JPMorgan Chase with 360 contracts in its proprietary trading account and 81 for its client account. In distant second was BNP Prime Brokerage with 105 contracts. The rest of the contracts were divided up between twenty or so of the smaller commercial brokerage houses. Yesterday's Issuers and Stoppers Report is definitely worth skimming, and the link is here. There was another big withdrawal from GLD yesterday, as an authorized participant shipped out 183,306 troy ounces for parts unknown. And as of 9:54 p.m. EST there were no reported changes in SLV. The U.S. Mint had a small sales report yesterday. They sold 5,000 troy ounces of gold eagles and 1,500 one-ounce 24K gold buffaloes, and that was all. It was a very quiet in/out day in gold over at the Comex-approved depositories on Tuesday, as only 257 troy ounces were reported received, and nothing was shipped out. But, as it almost always is, it was a totally different story in silver, as 300,586 troy ounces were reported received and 608,227 troy ounces were shipped out. All of the activity was at Brink's, Inc. and the link to that action is here. I have the usual number of stories for a mid-week column, and I'm sure there are several posted below that you'll find to your liking.