The Banks Are NOT On Your Side
By: Craig Hemke
GoldSeek.com
Wednesday, 10 October 2018
Certain precious metals analysts are once again claiming that, soon, the Banks will be “on your side”. This isn’t true, it hasn’t been true and it won’t ever be true so long as the fractional reserve and digital derivative pricing scheme continues.
Since much of the current optimism is based upon analysis of the CFTC-generated Commitment of Traders report, let’s simply take these reports at face value. We can assess whether anything has recently changed in regards to COMEX silver and determine whether or not the Banks are now “on your side”.
Earlier this year, the CoT categories of “Large Speculator” and “Commercial” made stunning reversals, and for the first time in the 32-year history of the reports, the Large Speculator category (hedge funds, money managers, trading funds) was revealed to be NET short, while the Commercial category moved NET long. At the peak of this positioning, the CoT survey of Tuesday, September 4 showed the Large Specs to be NET short 28,974 contracts, while the Commercials were NET long 14,613. These were all-time highs for the respective categories.
our weeks later, the price of COMEX silver had rallied a whopping 50¢, and another CoT survey was taken last Tuesday, October 2. And what did it show? The Large Specs had reduced their NET short position by 11,500 contracts and covered nearly 19,000 of their GROSS shorts. At the same time, the Commercials had themselves moved back to 1,012 contracts NET short, largely by adding nearly 11,000 contracts to their GROSS short total. See below:
The Rest…HERE
