Possible default in December gold??

jeb9999 · Dec 1, 2008

"Gold for February delivery dropped $42.20 to end at $776.80 an ounce on the New York Mercantile Exchange. The contract hit an intraday low of $769 an ounce."

December ended at $774.60.

Wow, real concern over "Possible default in December gold". :eek:

Debaser82 · Dec 1, 2008

This site keeps track of the calls for delivery.

http://meltdown2011.wordpress.com/2008/11/29/vaporize-comex-countdown/

40% of inventory out since december 1.

jeb9999 · Dec 2, 2008

Quote from Debaser82:

This site keeps track of the calls for delivery.

http://meltdown2011.wordpress.com/2008/11/29/vaporize-comex-countdown/

40% of inventory out since december 1.

Err, no. As of 12/01/08 the Comex warehouses have 2.9 million oz of registered gold and 5.6 million of eligible gold for a total of 8.5 million oz. That 1.1 million oz of delivered gold is still sitting in the Comex warehouses, it hasn't gone anywhere.

Anaconda · Dec 2, 2008

Quote from AMT4SWA:

You OBVIOUSLY do not know about Tom Fitzpatrick, the bank's chief technical strategist (CitiFX).

Who cares, why would you listen to ANYONE that works for a major bank or investment firm. The fact that he is a "Chief Tehcnical Strategist" only confirms that his opinion is worth about as much as some drunk yuppie's ramblings at a bar.

Plus, Citibank = ROFL!

Anaconda · Dec 2, 2008

Quote from jeb9999:

Wow, real concern over "Possible default in December gold". :eek:

A little early to judge, don't you think?

You won't see any significant signs of this till late December at the earliest.

jeb9999 · Dec 2, 2008

Quote from Anaconda:

A little early to judge, don't you think?

You won't see any significant signs of this till late December at the earliest.

Not at all. It is never too early to judge that total nonsense is total nonsense.

Anaconda · Dec 3, 2008

Quote from jeb9999:

Not at all. It is never too early to judge that total nonsense is total nonsense.

It's not nonsense, it's a valid concern but there is a lack of understanding in how the contracts trade and the specifications behind them.

That being said, it is a smart move to take delivery, as the premiums for physicals are high. Lot of opportunity.

daddyeaux · Dec 3, 2008

cant the COMEX force cash settlement if there's no metal around?

kxvid · Dec 4, 2008

Quote from daddyeaux:

cant the COMEX force cash settlement if there's no metal around?

Yes thats what happens if they sell their last bar.

Anaconda · Dec 4, 2008

Quote from kxvid:

Yes thats what happens if they sell their last bar.

They meaning the COMEX? COMEX does not take any position in the contracts, they will simply enforce as needed.