Market WrapUp (Thur 2/13/03

Financial Sense Online ^ | 2/13/03 | Jim Puplava

[arete]

Puplava was running a little late tonight.

Market WrapUp is DELIVERED

Richard W

[arete]

I guess a ping would be helpful.

Richard W.

[dalereed]

If the price of oil keeps climbing our sinking economy is going to go the way of the Titanic!

[B4Ranch]

Many thanks for posting the thread.

[cibco]

Better late than never! ;0)

[imawit]

Ya know, two weeks ago I thought I was missing the boat and gold would be sitting on the Moon.

After this week I'm a happy camper. I can buy more & more & more and not miss the lift off. After this piece, I'm also an expert analyst.

[FreedomPoster]

Isn't the problem creating higher oil prices mostly the Venezuelan situation? All our attention is focused on the Middle East, and meanwhile we've got neo-Cuba happening in this hemisphere, in a country that supplies more of our oil that just about any Gulf state.

[FreedomPoster]

Forgot to change the tag line back.

[dtel]

bttt

[arete]

After this week I'm a happy camper. I can buy more & more & more and not miss the lift off

I'm still buying my silver and I'm happy too. There is a growing interest in owning gold and silver -- with good reason.

Richard W.

[Deuce]

There is something about the charts of long and short that I can't figure out. Unless I'm missing something, the short contracts in total have to equal the long contracts. This holds for Silver but not for gold. Furthermore, the changes in silver long/short are not equat which implies that silver was not equal in the prior period.

Can you clear up the apparent mystery.

[arete]

the short contracts in total have to equal the long contracts.

Do they?

Richard W.

[Soren]

One thing he didn't mention is that as the price of gold rises, reserves increase as lower grades become economical to mine. That is why the miners hedge. They lock in a higher price and then start mining the lower grades to prolong the life of the mine. This adds some additional leverage

[Deuce]

Apparently not, if these figures are correct. But it seems to me that for every future that is bought a future is sold.

[arete]

Oh, I see your point alright. The chart is just showing the difference in open interest between put and call buyers and not the "writers" of the options. Puts reflective of negative "bets" and calls showing the positive side. They don't necessarily have to zero out and rarely do.

Richard W.

[Soren]

I think the commercial long position is wrong. Should be 35,779. Then they match. Check out the source data here

[gabby hayes]

Puplava exhibits far more of an inquisitive spirit regarding PTB/PPT/ESF intervention than any gold forum I've yet encountered.

[imawit]

Hey thanks ! I never thought of that.

I thought they hedged to get cash to blow at the local hardware store because the wife was still stocking up on shoes.

Just my simple economics getting too cured and hard.

[imawit]

Do either of you think the traders have an agreement or are just jaw boning their clients that calls should be sold when the contract shows a profit.

In other words take the profit on your call, don't complete the contract by coming up with the missing amount of dollars and ask for delivery of the commodity, gold or whatever. That's sorta like continuing the futures game but with the real stuff and not a call. Now you are an investor that has stepped out of the investment game at the Exchange but you are not an investor with a call or put.

The Exchange may not like this. In other words they don't want to convert their trading clients into bullion buyers.

Could there be some kind of inside gentlemen's agreement, type of thing.