NEW YORK ( TheStreet) -- Not surprisingly the HFT boyz and their algorithms were busy right from the moment that trading began in New York at 6 p.m. on Wednesday evening, taking gold down another few bucks. The price recovered from there---and then traded flat until at, or just after, the noon London silver fix on their Thursday morning. At that point the boyz showed up again and took gold down to a new low for this move down about five minutes before the 8:20 a.m. Comex open. Gold rallied off that low---and then got cut off at the knees again at, or shortly after the 10 a.m. EDT London p.m. gold fix. It then traded flat for the remainder of the Thursday session. The CME Group recorded the low and high ticks as $1,216.30 and $1,228.70 in the December contract. Gold closed in New York yesterday at $1,224.80 spot, up $1,60 on the day. Net volume was very decent at 145,000 contracts. Brad Robertson sent us the 5-minute tick chart for gold----and you can see that more that 90 percent of the volume occurred during the down-up move between the London silver fix and 10:40 a.m. EDT. Add two hours for New York time. Silver was subject to the same treatment, so I'll spare you the play-by-play, as the chart pattern was almost a carbon copy of gold's. JPMorgan et al put the lumber to platinum and palladium as well---and also during the same time period---and they both closed at new lows for this move down as well. Here are the charts. The dollar index closed late on Wednesday afternoon in New York at 84.73---and then rallied to its 84.81 high at 8 a.m. Hong Kong time on their Thursday morning. From there the index slid lower for the remainder of the Thursday trading session---and closed at 84.29---down 44 basis points on the day, giving up a large portion of its gain from the Fed news on Wednesday. You will carefully note, dear reader, that none of the precious metals gained anything back on Thursday that they lost during the "sell precious metals/buy the dollar index" rampage that went on, on Wednesday. It never works like that, or rather, it's not allowed to work like that. The gold stocks opened lower and moved lower until they rallied a bit along with gold once the London p.m. 'fix' was in. Despite the fact that the gold price traded flat from there, the stocks continued to weaken---and the late-day rally that started minutes before 2 p.m. EDT also sold off a bit into the close as the HUI finished down another 1.32 percent. The silver equities began the same way as gold, but there was no late-day rally to save them, as Nick Laird's Intraday Silver Sentiment Index closed down another 2.27%. The CME Daily Delivery Report showed that zero gold and only 6 silver contracts were posted for delivery within the Comex-approved depositories on Monday. Nothing to see here. The CME Preliminary Report for the Thursday trading session showed that there are 24 gold and 379 silver contracts still open in the September delivery month---minus the contracts mentioned in the previous paragraph. There were no reported changes in GLD yesterday---and as of 9:38 p.m. EDT yesterday evening, there were no reported changes in SLV, either. The U.S. Mint had another tiny sales report. They sold 1,500 troy ounces of gold eagles---and that was all. There were no reported deposits in either gold or silver over at the Comex-approved depositories on Wednesday. There was a 4,212 troy ounce withdrawal in gold---and 244,249 withdrawn in silver. In keeping with my schedule in San Antonio, I've kept the number of stories down the bare minimum once again.
This is an abbreviated version of Super-Rich Rush to Buy ‘Italian Job’-Style Gold Bars, from Ed Steer's Gold & Silver Daily. Sign-up to have to the complete market review delivered to your email inbox each morning for free.