NEW YORK ( TheStreet) -- Although it certainly appeared that not much happened in the gold market yesterday, it's a case of appearances being deceiving. For the second day in a row there was a morning rally between 9 and 10 a.m. Hong Kong time---and once again volume was off the charts, but not quite as big as it was on Wednesday.
Once that rally was capped, the gold price didn't do much until the London open. From there the price developed a negative bias into the New York low, which came at 8:45 a.m. EDT---25 minutes after the Comex open. From that point the price developed a positive bias---and then rallied sharply starting around 10:45 a.m. in New York. The high tick of the day came about 12:35 p.m.---and the price chopped slightly lower in the close of electronic trading.
The CME Group recorded the low and high price ticks as $1,364.90 and $1,375.70 in the April contract.Gold finished the Thursday session in New York at $1,371.10 spot, up $3.90 on the day. Gross volume was very heavy at around 218,000 shares, but once the roll-overs out of the April delivery month were subtracted, the net volume was only around 114,000 contracts. For the second day in a row, a huge percentage of the gross volume occurred during the early going in Far East trading. It was more or less the same type of chart pattern in silver, except for a rally at the Comex open, which got dealt with in the usual manner by JPMorgan et al. And, like gold, a seller of last resort showed up at 12:35 p.m.---and had the silver price sold back down for a loss on the day by the 1:30 p.m. Comex close. After that, the silver price didn't do much. The low and high price ticks were recorded at $21.105 and $21.48 in the May contract. Silver finished the Thursday trading session at $21.175 spot, down 14.5 cents from Wednesday's close. Volume, net of March and April, was 45,500 contracts. Here's the New York Spot Silver [Bid] chart on its own, so you can see the shenanigans at the Comex open---along with the sell-off from the high into the Comex close---in more detail. Platinum and palladium prices didn't do much, but managed to eke out gains of a few dollars each. Here are the charts. I note that JPMorgan et al weren't through with copper, as they smacked it for another nickel yesterday---and it closed down three cents on the day. The dollar index closed late on Wednesday afternoon in New York at 79.61---and traded flat until about lunchtime in Hong Kong. Then down it went, hitting its 79.28 low at 9:30 GMT in London. From there it gained back a handful of basis points until minutes after the 1:30 p.m. EDT Comex close. Then it popped back above unchanged---and sank back to basically unchanged on the day, closing the Thursday session at 79.59---down 2 basis points. The gold stocks opened flat, but began to rally strongly almost immediately. The rally ended the moment the high tick in gold was painted---and the shares traded pretty flat for the remainder of the New York session. The HUI finished up an impressive 3.14%. You have to ask yourself who was buying when the gold price was only up a couple of bucks---and the general equity markets in New York were getting sold off. The same can be said about the silver equities. They got sold off a bit after the price was capped at its New York high minutes after 12 o'clock noon---but once the Comex closed, they rallied a bit---gaining back part of what they lost. Nick Laird's Intraday Silver Sentiment Index closed up 1.89%. For the second day in a row the CME Daily Delivery Report showed that no silver or gold was posted for delivery within the Comex-approved depositories on Monday. That has to be a first, as I don't remember there ever being two consecutive days where there were no deliveries posted. The CME's Preliminary volume report posted in the wee hours of this morning EDT show that there are now only 385 silver contracts still open in March. After a withdrawal on Tuesday, an authorized participant added more gold to GLD yesterday. This time it was 67,458 troy ounces. And as of 9:25 p.m EDT yesterday evening, there were no reported changes in SLV. However, based on the price action, it's a good bet that the ETF is owed a decent chunk of silver---and it remains to be seen if the authorized participants deposit it as required by the prospectus---or short the shares in lieu of, because they don't have it and can't get it in a timely manner. The U.S. Mint did not have a sales report yesterday. There was a very decent amount of gold deposited in the Scotia Mocatta warehouse Wednesday----60,044 troy ounces to be exact---and1,318 ounces were reported shipped out. The link to that activity is here. For a change, there wasn't much activity in silver on Wednesday. Nothing was reported received---and a smallish 45,170 troy ounces were shipped out. The link to that "action" is here. Casey Research's own Jeff Clark delights in sending me this FRED chart every time it gets updated with a new high water mark. Here's the latest St. Louis Adjusted Monetary Base chart inching its way closer to the $4 Trillion dollar mark. It seems to be the new normal that I have a lot of stories again today---and I hope there are a few in here that interest you. Most of them are centered around the situation in Ukraine---and I only have two precious metal-related stories today, so it's slim pickings in that area.