Uh Oh - WTF?- CME Just Defaulted on a 200oz Gold Contract WITH THEIR exCEO!!!!!

Maybe its related to this upcoming event organised by the other side for May 1st:

[link to www.youtube.com]

"The music appears to be stopping, and the paper game is up!"

Yep - agreed.

Looks like more news is about to break on this via Zerohedge...

Do tell ....

Gold Rout for Central Banks Buying Most Since 1964: Commodities

[snip]
Central banks bought the most gold since 1964 last year just before the collapse in prices into a bear market underscored investors’ weakening faith in the world’s traditional store of value.

Nations from Colombia to Greece to South Africa bought gold as prices rose for an 11th year in 2011, highlighting the reversal of a three-decade-long bout of selling that diminished the world’s biggest bullion hoard by 19 percent. The World Gold Council says they added 534.6 metric tons to reserves in 2012, the most in almost a half century, and expects purchases of 450 to 550 tons this year, valued now at as much as $25.3 billion.

[link to www.bloomberg.com]

“They sell at the wrong time and buy at the wrong time,” said Walter “Bucky” Hellwig, who helps manage $17 billion of assets at BB&T Wealth Management in Birmingham, Alabama. “They aren’t traders. They are looking at it as a long-term holding, as an ultimate reserve currency. With the benefit of hindsight, they tend to get it wrong more often than not.”

The U.S. and Germany are the biggest owners, with gold accounting for more than 70 percent of their total reserves. Both kept holdings little changed in the past decade. The U.S. officially values its bullion at $42.2222 an ounce.

Last Edited by Hard Eight on 04/25/2013 09:03 AM

200oz isnt much gold at all.

6-7kg, you could put it in a small briefcase.

Do you guys think the FED dumped the paper to drop the price thinking people would sell and it backfired?

Or do you think the game is up and they are trying to make it crash and this was just a last minute trade from paper to physical at the lowest prices.

Or do you think they knew a drop would increase sales so they dropped it so lots of the public bought and now they are going to let it rise to 2000-3000 and let it coast and then buy up all the weak hands accumulating tons in the process and then they will let it rise to whatever it could rise too... 5k and above maybe.

I had been told the CME's gold reserves had evaporated overnight but in fact it was JPM's. It's the lead over at Zerohedge right now.

Yeah, this is getting really bad, really fast. There's a fake story that just went out about the University of Texas selling some of their gold to buy Ag futures contract. But as any trader can tell you UT was never allowed to take delivery of the physical gold in the first place. Disinfo is the lifeblood of the paper game.

Oh glorious collapse, bring an end to this madness NOW.