..............the last 4 hours have seen around 260,000 contracts dumped through Gold futures or around $34 billion notional! https://goldprice.org/spot-gold.html Gold prices are down almost 2% this morning - the biggest drop since Nov 2016, breaking below the key $1300 level, down to 6-month lows. Silver is even worse - crashing 4%, back below $17 after a huge week of outperformance. In fact Gold has fallen to the same level it was at right before its spiked on Trump's election...
Why would multi national hedger hold gold contracts they no longer control? Ie would QBE insurance want delivery of gold they were hedging for ABC bullion?
It's just dealer stocks selling and dealers decreasing their hedge with it. You don't need a 200 tonnes hedge for a 100 tonnes stock, see? Nothing much changed, the futures market hedge (green trend below) is now the same as 1 year ago, and the gold price too.
