Friday, January 17: Today in Gold and Silver

NEW YORK ( TheStreet) -- There's not much to say regarding yesterday's price action.  Gold got sold down a bit in early London trading---and then didn't do much until 1 p.m. GMT---about 20 minutes before the Comex open.  The rally from that point, such as it was, ended at 9 a.m. sharp EST in New York---and the gold price chopped sideways from there into the 5:15 p.m. close.

The high and low ticks, such as they were, were reported by the CME as $1,244.90 and $1,235.80 in the February contract.

Gold close on Thursday at $1,242.70 spot, up 70 cents on the day.  Net volume was extremely light at 80,000 contracts.

It was more or less the same for silver, with the low tick for that precious metal coming at the noon London silver fix---and the subsequent rally ended at the same time as the gold rally.  After that, silver got sold down a bit into the close.

The high and low price ticks in the March contract were $20.25 and $19.97.

Silver finished the day in New York at $20.095 spot, down 10.5 cents on the day.  Volume, net of January and February, was around the 34,000 contract mark.

The rally in platinum in Far East trading got capped pretty quick---and then got sold down to its low of the day at the 10:30 a.m. GMT London gold fix.  The subsequent rally ended shortly before the 1:30 p.m. EST Comex close---and the metal traded sideways from there.

It was almost the same in palladium, except for the fact that the rally off the London a.m. gold fix got capped/ran out of gas minutes after 12 o'clock noon in New York.

The dollar index closed late on Wednesday afternoon in New York at 81.03---and then chopped lower in a reasonably tight range during all of Thursday.  The index ended the session yesterday at 80.92, which was down 11 basis points from Wednesday's close.

The gold stocks opened higher, but then slid back to unchanged with an hour of the open.  From there they chopped and flopped around until they caught a bid in the last few minutes of the New York trading day---and the HUI finished up 0.45%.

The chart pattern for the silver equities was more or less the same, but their price performance was a tad weaker---and Nick Laird's Intraday Silver Sentiment Index closed up only 0.23%.

The CME Daily Delivery Report showed that only 1 gold and 22 silver contracts were posted for delivery within the Comex-approved depositories on Monday.  The link to yesterday's Issuers and Stoppers Report is here.

There were no reported changes in either GLD or SLV yesterday.

Joshua Gibbons, the "Guru of the SLV Bar List" updated his website with the  SLV data from Wednesday---and this is what he had to say: " Analysis of the 15 January 2014 bar list, and comparison to the previous week's list---1,924,557.2 troy ounces were removed (all from Brinks London), 1,443,511.0oz were added (all to Brinks London), and no bars had a serial number change."

"The bars removed were from: KGHM (0.5M oz), Doe Run (0.4M oz), Met-Mex (0.3M oz), Almalyk (0.3M oz), and 8 others. The bars added were from: Kazzinc (1.4M oz) and Solar Applied Materials (0.01M oz).  As of the time that the bar list was produced, it was overallocated 402.5 oz.  All daily changes are reflected on the bar list."  The link to Joshua's website is here.

There was another sales report from the U.S. Mint on Thursday, but because I left the historical data sitting on my desk at home in Edmonton, I can't tell you what the sales were, because I don't have the Wednesday sales data to compare to.  All I can say is that they sold more of everything.  If there's a sales report today, I'll have it for you tomorrow, plus a recap of the month-to-date figures.

Over at the Comex-approved depositories on Wednesday, there were no reported in/out movements in gold.

As per usual, it was an entirely different story in silver as 1,624,058 troy ounces were reported received---and all of it went into the depository over at HSBC USA. A smallish 61,763 troy ounces were reported shipped out. The link to that action is here

Here's a chart that Washington state reader S.A. sent our way yesterday---and it's pretty self-explanatory.

Here's another chart for you---and this one is courtesy of Casey Research's own Jeff Clark.  It doesn't need any sort of introduction, either.  The tapering of QE only means that the line on the chart will ease off from going almost straight up to just about straight up.

My attempt to cut down on the number of stories today didn't work out as well as I had hoped, but I'm delighted to leave the final edit up to you.

¤ The Wrap

Just to be clear, I don’t relish accusing JPMorgan, but neither is this bank some 90-pound weakling that I am bullying. It is not my life’s mission to accuse JPMorgan of market manipulation in silver and gold, but the facts leave no other choice. The data are so compelling that I can’t avoid singling out the bank.

More than anything else, JPMorgan’s big new short sale in silver creates a danger to many, including the exchange and the bank itself. Most know that JPMorgan’s prime interest now will be in rigging prices lower at some point in order to trick the technical funds into selling short again so that JPMorgan can buy back its new short silver contracts at a profit. Therefore, every silver and silver mining investor, as well as the mining companies and countries that produce silver will suffer if JPMorgan succeeds, as is usually the case. I can’t certify that JPMorgan will succeed in manipulating prices lower, but if silver prices do fall, the blame can be placed squarely on JPM. - Silver analyst Ted Butler: 15 January 2014 

There`s not much to add to what happened in both gold and silver yesterday, except to say that any rally worthy of the name always ends up getting capped sometime during the Comex trading session---and that also includes platinum and palladium most of the time as well.

Today we get the latest Commitment of Traders Report from the CFTC---and both Ted and I are bracing ourselves for ugly numbers.

By the way, I had a comment from reader M.A. about that Glenn Beck video on Germany`s gold that I posted in yesterday`s column.  Apparently the video is restricted for some, so here`s another link to it in case you were one of the unlucky ones.  As I said yesterday, it`s a must watch---and the link is here.

Not much happened in Far East trading on their Friday---and the same can be said for the first hour of trading London as well.  Volumes, which I thought were pretty light yesterday at this time of day, are vanishingly small at the moment.

And as I hit the send button at 5:04 a.m. EST, the price action in all four precious metals is still very quiet---and volumes haven`t picked up much, either.  The dollar index is dead.

Since today is Friday, one should be prepared for anything during the Comex trading session today.

Enjoy your weekend, or what`s left of it if you live west of the International Date Line---and I`ll see you here tomorrow.

This is an abbreviated version of Ed Steer's Gold & Silver Daily Sign-up to have to the complete market review delivered to your email inbox each morning for free.

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