Friday, December 18, 2009

Gold Traders Are Acting Like Tiger Woods' Wife...

...when she thought that Tiger had only one brief fling.

Citi's Alan Heap in a report points out that speculators are still very much long gold:
Despite the recent USD strength, speculators have not liquidated positions in metals. Total LME open interest positions were largely stable since early December. COMEX non-commercial positions in gold and copper continue to increase
In other words, gold is acting like Tiger Wood's wife might have acted after she learned about just one of Wood's flings. She may have thought, "Yes there is a bump in the road but we will work it out." After about mistress 19 surfaces, she finally gets the picture, and is running out the door trying to grab as much cash as she can as she exits. It will be the same with gold traders.There's still a lot of bad news ahead before they start running for the exits.


1 comment:

  1. The CFTC has no right to require reporting of a position (short/long) in the market. All their info-gathering does is enable the market manipulators to see the other guys' cards.
    No matter, the deceit will be exposed for all to see.